What Does Channeling Mean?
Channeling is a method used by hospitals to protect their employees against liability. It is meant to lower the expense of lawsuits by treating the hospital and its employees as a single party in malpractice charges instead of having each party responsible for its own defense.
Insuranceopedia Explains Channeling
Instead of having one policy per employee, channeling allows a single policy to cover all the employees in a single medical facility. In addition to giving the defendants a unified defense in a malpractice suit, the premiums for a group policy are often lower than those for individual policies.