Who Benefits from Medical Malpractice Caps, Doctors or Insurers?

In an article about New York's debate over medical malpractice caps, the New York Times looks at California's experience with caps, writing:

"...states that have similar caps in place offer cautionary evidence about the big savings for health care providers that such limits are believed to produce.

In 1975, California lawmakers approved a $250,000 cap on so-called noneconomic damages in cases of medical mistakes, which has since become a model for similar proposals. At least 35 states now have at least some limits on malpractice damages."

The article, Lessons for Albany on Malpractice Limits, goes on to cite numbers from the Physician Insurers Association of America that show California and three other states with "$250,000 caps in place in 1991 saw premiums increase 28 percent in the following decade."

For the full article and analysis, link to the article on NYT at: Limits on Medical Malpractice Awards Show Mixed Results.

New York Med Mal Payouts Stable

An article in the Insurance Journal reports Data Show New York Malpractice Payouts Steady.

"The federal data show 2,000 to 2,400 malpractice payments in New York each of the past 15 years. Total payments were $515 million in 1993. Horner said after adjusting for inflation, the cost has held relatively stable."

This in light of consumer advocates pushing to extend statute of limitations. See previous post.

New York Considers Change in Statute of Limitations for Medical Negligence Lawsuits

ALBANY, NY — A group of cancer patients and victims families in New York is pressing the legislature there to revise the malpractice laws to change the start date of the 2 1/2-year statute of limitations on medical negligence lawsuits from the date of discovery instead of from the time the medical mistake is made.

Read more on the Legislative Gazette: Patients should have more time to file malpractice suits, say advocates.

New York Hospital Ordered to Pay $17M for Injury to Mother During Caesarean

ROCHESTER, N.Y. — Legal Newsline reports that A New York jury ordered Strong Memorial Hospital to pay a former patient more than $17 million in a medical malpractice lawsuit. The case involved a woman who claimed a Caesarean delivery damaged her organs.

"Her attorneys claimed that because of poor planning, doctors at the Rochester, N.Y., hospital cut the connection between her pancreas and bladder during the Caesarean delivery, causing pancreatic fluid and urine to leak into her abdominal cavity. The acidic fluid burned her organs, ate through her abdominal wall and required doctors to remove her pancreas, the Rochester (N.Y.) Democrat and Chronicle reported."

State Roundup on Medical Malpractice Developments from Kaisernetwork.org

More from Kaiser Daily Health Policy Report's State Watch:

"Indiana: The rates that physicians pay to participate in the state Patient's Compensation Fund will decrease by 19.1% next year, and the rates that hospitals pay will decrease by 1.3%, according to the Indiana Department of Insurance, the Indianapolis Star reports. Read more...

Maryland: The Medical Mutual Liability Insurance Society of Maryland, the largest malpractice insurer in the state, last week announced plans to use an almost $100 million dividend to reduce malpractice insurance premiums for physicians by 8%, pay physicians $13.8 million in credits against premiums for 2008 and return $84 million to the state for emergency subsidies, the Baltimore Sun reports... Read more...

New Jersey: The state Medical Malpractice Liability Insurance Premium Assistance fund plans to pay $16.4 million in subsidies to help physicians in the highest-risk specialties cover the cost of malpractice insurance, state Banking and Insurance Commissioner Steven Goldman announced last week, the Newark Star-Ledger reports. Read more...

New York: The 475 physicians in the state who participate in the state Medical Malpractice Insurance Plan, which provides malpractice insurance to those who cannot obtain coverage in the private market, might have to pay significantly higher premiums because the fund has a $525 million deficit, Long Island Newsday reports." Read more...