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Medical Director & Oversight

What Should Be Included in a Medical Director Agreement?

Educational categories to consider in a medical director agreement — scope, availability, protocols, chart review, compensation, and legal review.

NOVI Society Editorial· 5 min read· Last reviewed 2026-08-04
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At a Glance

  • A medical director agreement should document the scope of the physician's responsibilities, availability, and compensation.
  • Key categories include scope of services, availability, protocols, Good Faith Exams, chart review, emergency support, and compensation.
  • This article provides educational categories only — it is not a contract template or legal drafting advice.
  • All agreements should be reviewed by a qualified attorney.
  • The specific terms depend on the state, the practice, and the treatments offered.

Direct Answer

A medical director agreement should document the scope of the physician's clinical responsibilities, their availability, the protocols they will establish or review, chart review expectations, emergency support, compensation, term and termination, insurance, confidentiality, and record access. This article provides educational categories to consider — it is not a contract template and does not constitute legal drafting advice. All agreements should be reviewed by a qualified attorney.

Scope of Services

The agreement should define what the medical director will do:

  • Which treatments the medical director will oversee
  • Whether the medical director will establish, review, or approve protocols
  • Whether the medical director will perform Good Faith Exams
  • Whether the medical director will be available for consultations
  • The specific clinical governance responsibilities

Availability

The agreement should specify the medical director's availability:

  • How quickly the medical director will respond to routine questions
  • How quickly the medical director will respond to emergencies
  • Whether on-site visits are required and how often
  • Whether remote oversight is permitted
  • Coverage arrangements during the medical director's absences

Provider Eligibility

The agreement should confirm the medical director's eligibility:

  • The physician is licensed in the state of practice
  • The physician's license permits the required level of delegation or supervision
  • The physician meets any state-specific requirements for medical directors
  • The physician's license is in good standing

State Coverage

If the practice operates in multiple states:

  • The physician is licensed in each state where the practice operates
  • The agreement specifies which states are covered
  • Whether the physician can support expansion into additional states

Protocol Responsibilities

The agreement should address protocols:

  • Whether the medical director will draft, review, or approve treatment protocols
  • How often protocols will be reviewed and updated
  • How new treatments or products will be added
  • How protocol deviations will be handled

Good Faith Exam Responsibilities

If Good Faith Exams are required:

  • Who will perform the exam (the medical director or a delegated provider)
  • Whether telehealth exams are permitted
  • Documentation requirements for the exam
  • The frequency of repeat exams

See What Is a Good Faith Exam in Medical Aesthetics?.

Chart Review

The agreement should specify chart review expectations:

  • How frequently charts will be reviewed
  • What percentage of charts will be reviewed
  • How review findings will be documented and communicated
  • How deficiencies will be tracked and corrected

See How Often Should a Medical Director Review Charts?.

Emergency Support

The agreement should address emergency support:

  • The medical director's availability for emergencies
  • The emergency response protocol
  • The process for transferring patients to a higher level of care
  • Documentation of adverse events

Training Expectations

The agreement may address training:

  • Whether the medical director will provide staff training on protocols
  • Whether the medical director will participate in competency assessment
  • Ongoing education expectations

Compensation Structure

The agreement should specify compensation:

  • The compensation amount and frequency
  • Whether compensation is a flat fee, per-chart fee, or hourly rate
  • Payment terms and invoicing
  • Whether compensation covers all services or specific activities

Term and Termination

The agreement should address:

  • The term of the agreement
  • How the agreement may be terminated
  • Notice requirements for termination
  • Transition arrangements after termination
  • What happens to protocols and patient records

Insurance

The agreement should address insurance:

  • Whether the medical director maintains their own malpractice insurance
  • Whether the practice's insurance covers the medical director
  • Coverage limits and scope

Confidentiality

The agreement should include confidentiality provisions:

  • Protection of patient information
  • Protection of practice proprietary information
  • HIPAA compliance obligations

Record Access

The agreement should address record access:

  • The medical director's access to patient records for chart review
  • How records will be maintained after the agreement ends
  • Data security and privacy obligations

Expansion

If the practice plans to expand:

  • Whether the medical director can support additional services or locations
  • Whether the medical director is licensed in other states
  • How the agreement will be amended for expansion

All medical director agreements should be reviewed by a qualified attorney who understands:

  • State medical practice laws
  • Corporate-practice-of-medicine rules
  • Delegation and supervision requirements
  • Contract law

This article provides educational categories only and is not a contract template or legal drafting advice.

What Providers Should Verify

  • That the agreement documents all material responsibilities
  • That the agreement is reviewed by a qualified attorney
  • That the medical director is licensed and eligible in your state
  • That the agreement addresses availability, chart review, and emergency support
  • That compensation, term, and termination are clearly defined

Frequently Asked Questions

What should a medical director agreement cover? A medical director agreement should cover scope of services, availability, provider eligibility, state coverage, protocol responsibilities, Good Faith Exam responsibilities, chart review, emergency support, training, compensation, term and termination, insurance, confidentiality, and record access. All agreements should be reviewed by a qualified attorney.

Is a verbal agreement with a medical director sufficient? No. A medical director agreement should be in writing, reviewed by an attorney, and signed by both parties. Verbal arrangements are difficult to enforce and may not meet state requirements.

Can I use a template for a medical director agreement? Templates can be a starting point, but every agreement should be customized to the specific practice, state, and treatments, and reviewed by a qualified attorney. This article provides educational categories only and is not a contract template.

What happens when a medical director agreement ends? The agreement should specify transition arrangements, including notice requirements, what happens to protocols and patient records, and how ongoing patient care will be handled. Plan for continuity of oversight during the transition.

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NOVI resources are provided for general educational purposes and are not legal, medical, tax, financial, licensing, or regulatory advice. Requirements may vary by state, provider credentials, practice structure, and services offered. Current requirements should be confirmed with qualified professionals and official regulatory sources.

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