Certified Professional in Health Care Risk Management (CPHRM) Practice Exam 2025 - Free CPHRM Practice Questions and Study Guide

Medical malpractice settlements and practitioner privilege actions must be reported to the National Practitioner Data Bank (NPDB). This is a crucial aspect of health care risk management as the NPDB serves to improve patient safety and the quality of health care by providing information on practitioners' professional competence and conduct. Reporting these types of actions helps identify individuals who may pose a risk to patient safety, allowing hospitals and other healthcare organizations to make informed decisions regarding hiring, credentialing, and granting privileges to healthcare providers.

In contrast, changes in hospital management, annual financial reports, and patient satisfaction data are not requirements for NPDB reporting. While these factors may have implications for the overall management and operation of healthcare facilities, they do not directly pertain to the professional conduct or legal history of individual practitioners in the same way that malpractice settlements and privileging actions do. Therefore, they do not fall under the mandated reporting criteria established by the NPDB.