What is Medical Licensing? | Everything You Need to Know

Varun Krishnamurthy
December 13, 2024
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There is no denying that safety is everything in the healthcare industry, and one of the best ways to maintain this safety is through medical licensing.

So, what’s medical licensing? 

Medical licensing is a process that allows a healthcare professional to practice medicine legally. It’s a system that ensures healthcare providers are qualified to treat patients. 

In simple terms, a medical license shows that a doctor has the skills and knowledge needed to care for patients. Without it, anyone could claim to be a doctor, putting patients at serious risk.

To obtain a medical license, healthcare professionals must meet specific educational and training standards, pass required examinations, and adhere to regulations set by state medical boards.

In this blog, we’ll discuss everything you need to know about medical licensing, including:

  • The purpose of medical licensing
  • Key organizations involved in medical licensing
  • Who needs medical licensing
  • Steps to obtain medical licenses in the USA
  • Types of medical licenses
  • How to maintain a medical license
  • Challenges in medical licensing and much more

Let’s get right in.

The Purpose of Medical Licensing

Purpose of Medical Licensing

Medical licensing serves many essential purposes, some of which will be discussed below.

1. Ensuring Patient Safety

Licensing guarantees that healthcare providers meet minimum standards before treating patients. This ensures that every doctor has the required knowledge and skills to deliver safe and effective care.

2. Maintaining Healthcare Standards

Licensing also helps maintain high standards in healthcare. Medical boards require doctors to stay updated with the latest medical knowledge and practices. This way, doctors continue providing quality care throughout their careers.

3. Legal and Ethical Considerations

Licensing sets legal and ethical boundaries for medical practice. Providers must follow laws and moral guidelines to keep their licenses. This holds them accountable and provides patients with protection if anything goes wrong.

Let’s now take a look at some of the major organizations involved in medical licensing.

Key Organizations Involved in Medical Licensing

Several key organizations are involved in overseeing medical licensing. Examples of these include:

  • State Medical Boards: These are the bodies responsible for issuing medical licenses in each U.S. state. They enforce state-specific rules and take action if a doctor breaks any regulations. Each board operates somewhat like a guardian, ensuring that practitioners adhere to the highest standards of care. The boards typically comprise volunteer and public members appointed by the Governor of a state.
  • Federation of State Medical Boards (FSMB): The FSMB supports state medical boards in creating policies and guidelines that safeguard public health and safety. It also helps manage the United States Medical Licensing Examination (USMLE).
  • American Medical Association (AMA): While the AMA is not directly involved in licensing, it provides resources and education to help doctors navigate the licensing process.

Who Needs Medical Licensing?

Anyone who wants to practice medicine in the United States must obtain a medical license. This includes medical doctors (MDs), doctors of osteopathic medicine (DOs), and other healthcare professionals who diagnose and treat patients. 

Whether a doctor wants to work as a general practitioner or a specialist, they need to go through the licensing process. The question then becomes, “How can these doctors obtain a medical license?”

4 Steps to Obtain a Medical License in the USA

Steps to Obtain a Medical License in the USA

There are four major steps to obtaining a medical license in the United States. These steps include:

1. Educational Requirements

The first step toward getting a medical license is completing a relevant medical degree, such as a Doctor of Medicine (MD), Doctor of Osteopathic Medicine (DO), Bachelor of Medicine, Bachelor of surgery (MBBS). Doctors must graduate from an accredited medical school. Accreditation is important because it ensures that the education meets certain quality standards.

After completing medical school, aspiring doctors must pass the United States Medical Licensing Examination (USMLE). This test assesses their medical knowledge and readiness to practice.

2. Residency and Training Requirements

After passing the USMLE, medical graduates begin their residency training. During this time, they work in hospitals under the supervision of experienced doctors. 

The length of residency depends on the specialty. Some programs last a few years, while others may take longer. On average, it's usually between 3 to 7 years. 

The residency gives new doctors the experience they need to handle real-world situations, like diagnosing and treating patients.

After their residency, they obtain their licenses and start practicing. Alternatively, they can opt to specialize further by completing a medical fellowship, which typically requires an additional one to three years of training.

3. Application Process

Once residency is complete, doctors can apply for their medical license. This involves sending all required documents, such as educational records, USMLE scores, and training details, to the state medical board.

You can find a list of State Board contact information here.

4. Background Checks and Credentialing

Doctors must also pass background checks as part of the application. All applicants are required to provide details about their work history and disclose any information that could affect their ability to practice, such as their health status, malpractice judgments or settlements, and criminal convictions.

Credentialing is an additional step where the medical board verifies the validity of all qualifications, including degrees and experience.

To do this, the medical board contacts educational institutions and previous employers to confirm that the information provided is accurate. Credentialing helps ensure that only qualified individuals are allowed to treat patients, reinforcing the integrity of the medical profession.

It’s important to note that credentialing is an ongoing requirement. Doctors and medical practitioners will need to renew their credentials periodically, which involves submitting updated information and proof of continuing education. This ensures that doctors stay current with the latest medical practices and standards, further safeguarding patient care.

Obtaining Medical Licensing: Time and Efficiency

Now that you know the four major steps necessary for obtaining a medical license, let’s answer some frequently asked questions about medical licensing.

Requirements to Obtain a Medical License

  • Current CV
  • Medical school verification
  • Medical training (i.e., residency training)
  • Performance on a national licensing examination
  • References
  • Mental, moral, and physical fitness to safely practice medicine

How Long Does It Take to Obtain a Medical License?

The time it takes to get a medical license varies. On average, the process can take at least 2 to 6 months from the time a doctor applies until they receive their license. 

Delays can happen if:

  • Documents are incomplete 
  • The medical board requires more information

What Is the Easiest Way to Get Medical Licensing?

Some doctors use licensing services to speed up the process. These services help them manage paperwork and keep track of all the necessary steps. 

For those practicing in multiple states, the Interstate Medical Licensure Compact (IMLC) offers an easier way to get licensed in different regions. This compact is one type of medical license in the United States.

Types of Medical Licenses

Types of Medical Licenses

There are four major types of medical licenses. We will explain each of these types below.

1. Full, Unrestricted License

This is the most common type of license. It allows doctors to practice medicine independently without any limitations.

For example, a doctor who has completed their residency and received a full license can open a family practice. They can treat a wide range of patients and conditions, making them the primary healthcare providers in their community. However, they cannot use the license in other states.

2. Limited License

A limited license is usually granted to doctors who are still in training or to those who are limited to a specific role, such as working in a teaching hospital.

For example, a surgical resident can hold a limited license that allows them to assist in surgeries under the supervision of experienced surgeons. This license enables them to gain practical experience while ensuring patient safety.

3. Temporary License

Doctors who need to practice for a short period, such as during emergencies or special projects, are given temporary licenses. 

For example, a doctor volunteering in a disaster relief effort might get a temporary license.

4. Interstate Medical Licensure Compact (IMLC)

The IMLC offers a faster way for doctors to practice in multiple states. Doctors who qualify can apply for licensure in any member state without going through the full application process again.

To participate in the Interstate Medical Licensure Compact (IMLC), all physicians must first hold a full, unrestricted medical license in one of the member states, which will serve as their designated State of Principal License (SPL). 

To establish a state as their SPL, a physician must meet at least one of the following criteria:

  • The physician’s primary residence is in the designated SPL
  • At least 25% of the physician’s medical practice occurs in that state
  • The physician is employed by a person, business, or organization located in the SPL
  • The physician declares the SPL as their state of residence for U.S. federal income tax purposes
  • They must have no history of disciplinary actions against their medical license
  • They must have no criminal record
  • They must have no record of controlled substance violations related to their medical license
  • They must not be currently under investigation

Other Healthcare Licenses in the USA

Aside from the four major medical licenses listed above, there are other different types of healthcare licenses in the US. They include:

  1. Facility license: Healthcare facilities obtain a facility license to operate legally. These licenses are issued by state health departments or regulatory bodies to ensure that the facility meets safety, hygiene, staffing, and operational standards.
  2. Healthcare product license: Manufacturers and distributors of healthcare products, such as medical devices, pharmaceuticals, and over-the-counter products, require a healthcare product license. This license ensures that the products meet regulatory standards for safety and effectiveness before they can be marketed or sold. 
  3. Pharmacy license: Pharmacies must obtain a pharmacy license to dispense medication to patients. This license ensures that the pharmacy adheres to proper storage, handling, and dispensing of medicines in accordance with state and federal laws.
  4. Medical Doctor (MD) license: A Medical Doctor (MD) license is awarded to physicians who have completed medical school, passed the necessary exams, and met the training requirements. This license allows them to diagnose and treat patients, prescribe medications, and perform surgeries.
  5. Doctor of Osteopathic (DO) medicine license: A Doctor of Osteopathic Medicine (DO) license is for physicians trained in osteopathic medicine, which emphasizes a holistic approach to care and includes osteopathic treatment. Like MDs, DOs can diagnose, treat, and perform surgeries. They must also complete medical school, residency, and pass licensing exams to obtain this license.
  6. Doctor of Dental Surgery (DDS) or Doctor of Dental Medicine (DMD): Dentists are licensed under either a Doctor of Dental Surgery (DDS) or Doctor of Dental Medicine (DMD) degree. These licenses allow dentists to provide dental care, perform oral surgeries, and maintain the health of a patient's teeth and gums.
  7. Registered Nurse (RN): A Registered Nurse (RN) license is required for nurses who have completed an accredited nursing program and passed the NCLEX-RN examination. RNs are responsible for providing direct patient care, administering medication, and coordinating with other healthcare professionals. State nursing boards issue this license.
  8. Licensed Practical Nurse (LPN) or Licensed Vocational Nurse (LVN): An LPN or LVN license is for nurses who provide primary patient care under the supervision of RNs and doctors. They perform tasks such as checking vital signs, administering medications, and assisting with daily living activities. Like RNs, LPNs and LVNs must pass a licensing exam, usually the NCLEX-PN, and meet educational requirements.
  9. Pharmacist license: Pharmacists require a pharmacist license to dispense medications, advise patients on drug usage, and ensure that prescriptions are filled accurately. Pharmacists must graduate from an accredited pharmacy program, pass the North American Pharmacist Licensure Examination (NAPLEX), and meet state-specific requirements to obtain this license.
  10. Permanent license: A permanent license allows healthcare professionals to practice indefinitely, provided they meet renewal requirements. This is the most common type of license and applies to MDs, DOs, nurses, pharmacists, and other healthcare providers who have completed all the necessary education, training, and exams.
  11. Temporary license: A temporary license allows healthcare professionals to practice for a limited time, often while they are waiting for their full license to be approved. This license is commonly used by recent graduates or practitioners relocating to a new state. Temporary licenses are also issued in emergencies, such as during public health crises when more medical personnel are needed quickly.
  12. Locum tenens license: A locum tenens license is granted to healthcare professionals, usually physicians, who are temporarily filling in for another doctor or providing short-term care at different facilities. This type of license is essential for practitioners who travel to different states or regions to offer medical services on a temporary basis.

Maintaining a Medical License

License maintenance requirements

Getting a license is one thing; maintaining it is an entirely different thing. If providers don’t know the rules and regulations required to maintain a medical license, they may unknowingly make a mistake and risk losing it.

Here are some important ways providers can maintain a medical license:

1. Continuing Medical Education (CME) Requirements

To keep their licenses active, doctors must regularly complete Continuing Medical Education (CME). This ensures that they stay updated on the latest medical knowledge and practices. 

It’s important to note that your CME credits are a key requirement for license renewal.

2. License Renewal Process

Medical licenses must be renewed every few years, depending on state rules. Doctors usually need to show proof of CME credits and may need to pass additional background checks during the renewal process.

3. Disciplinary Actions and Consequences

If a doctor breaks medical laws or ethical rules, they could face disciplinary actions. This can include fines, suspension, or even losing their license. 

Maintaining a clean record is important for keeping a license in good standing.

Challenges in Medical Licensing

Challenges in Medical Licensing

Several challenges exist within the medical licensing industry, from practice issues and telemedicine issues to international licensing issues. 

1. Interstate Practice Issues

One major challenge for doctors is practicing across state lines. Each state has its own licensing process, making it difficult for doctors who want to work in more than one region. 

This is especially problematic for doctors who practice telemedicine, where they treat patients remotely.

2. Telemedicine and Licensing Across State Lines

Telemedicine has grown rapidly, allowing doctors to treat patients via video or phone. However, the need for separate licenses in each state makes this challenging. 

Imagine a doctor trying to schedule a telehealth appointment only to realize they need an additional license for the patient’s location. This can be a significant hurdle in providing timely care.

3. International Medical Graduates and Licensing

For international medical graduates (IMGs), obtaining a U.S. medical license can be more complicated. 

They must pass additional exams, complete a U.S. residency program, and meet other strict requirements, which can take several years.

Here’s all you need to know about getting a medical license as an international medical graduate.

4. Track of expiry and renewal

Medical licenses are not permanent; they must be renewed periodically, and each state has its own renewal schedule and requirements.

Failing to renew on time can result in a suspended license, which could disrupt a healthcare professional's ability to practice. 

Many doctors and healthcare professionals find it challenging to meet these deadlines, especially if they are licensed in multiple states. Tracking continuing education credits and completing the necessary paperwork can also add to the complexity.

Recent Developments and Trends

Recent developments and trends have been made to combat the challenges above. Some of these will be discussed below.

Technological Advancements in Licensing Processes

Technology is playing an increasingly significant role in streamlining the licensing process.

Online applications and automated systems like Assured are now reducing paperwork, making it easier and faster for doctors to apply for licenses and renew them.

Assured is a provider management solution built for world-class healthcare companies. With Assured, you can:

  • Track the status of every provider and license application from submission all the way to activation 
  • Ensure that your licensing applications are accepted on the first try

Efforts to Streamline Licensing Across States

There are ongoing efforts to expand the Interstate Medical Licensure Compact, making it easier for doctors to work in multiple states. 

This could reduce healthcare shortages in rural areas and allow doctors to reach more patients through telemedicine.

Medical Licensing for Different Specialties

There are different medical licenses for different specialties.

1. Primary Care vs. Specialists

While all doctors (primary care) need a medical license, those who choose to specialize in fields like surgery or cardiology often need additional certifications. 

For example, a doctor who becomes a board-certified surgeon must complete extra training and pass specific exams in that specialty.

2. Additional Certifications and Requirements

Some specialties also require doctors to maintain their certification through programs like Maintenance of Certification (MOC). 

This ensures that specialists stay proficient in their fields and continue to meet the highest standards.

Conclusion

Medical licensing is essential for ensuring patient safety and maintaining high standards in healthcare. It gives patients confidence that the doctors treating them are qualified and trustworthy. 

The best part is that thanks to technological advancements and provider solutions like Assured, the licensing process doesn’t have to be long and complex.

At Assured, we streamline the entire medical licensing process so you can focus on delivering exceptional care to your patients. We handle licensing, credentialing, provider enrollment, and network management.

So, what are you waiting for? Get in touch with Assured today and discover how our platform make your path to medical licensure faster, smoother, and hassle-free. 

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Varun co-founded Dawn Health, a virtual sleep clinic that was successfully acquired in 2023. Throughout this journey, he encountered firsthand challenges with licensing, credentialing, and payer enrollment, gaining valuable insights into the inefficiencies within these processes. Drawing from these experiences, he co-founded Assured to revolutionize the field. With his engineering background, Varun and the team are leveraging advanced technology to automate traditionally manual operations, improving efficiency and transparency.