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Government Affairs Home > Washington Highlights > February 14, 2003

Senators Link Malpractice Crisis to Access Problems, Insurers' Financial Mismanagement

February 14, 2003 - The debate over malpractice liability reform continued at a Feb. 12 joint hearing of the Senate Health, Education, Labor, and Pensions Committee and Senate Judiciary Committee.

Unlike earlier hearings, the Feb. 12 hearing indicated a growing bipartisan concern that rising malpractice premiums are restricting patient access to care. The access issue was addressed in several testimonies, including one offered by the wife of a man who had to wait hours before a neurosurgeon was found to treat his life-threatening head injury. According to her testimony, the neurosurgeons in the area had moved away because they could no longer afford their malpractice insurance premiums.

The testimony of an obstetrician/gynecologist from Las Vegas who recently moved to Maine because of premium increases also addressed access problems. Despite having 8,000 active patients, he could not sell his well-respected 12-year practice because of Nevada's malpractice premium levels.

While there was bipartisan agreement on the impact of rising malpractice premiums, the Committee members remained divided over how to address the problem. Sens. Edward Kennedy (D-Mass.), Christopher Dodd (D-Conn.), and Richard Durbin (D-Ill.) were among those who held the insurance industry accountable. They blamed premium increases on poor financial management and an exemption from anti-trust regulations, and called for increased oversight and investigations of the industry.

While several senators suggested capping awards and limiting an attorney's contingency fees as proposed in the HEALTH Act, others including Hillary Clinton (D-N.Y.) proposed the creation of a funding pool that high-risk specialists could draw from to pay part of their premiums. Sen. John Edwards (D-N.C.) criticized President Bush for claiming that too many frivolous lawsuits go to court. He explained that attorneys invest a great deal of time and money in defending their cases and subsequently would never take on a case that had no merit and would fail in court.

Sen. John Ensign (R-Nev.) and witness Jay Angoff, an attorney who specializes in malpractice issues, felt that pre-trial screening procedures ("affidavits of merit") would prevent frivolous lawsuits from consuming unnecessary resources and contributing to the rise in malpractice premiums. Several states, including North Carolina and Texas already require some type of affidavit of merit.

Information:
Christiane Mitchell, Senior Legislative Affairs Manager
AAMC Government Relations
cmitchell@aamc.org
(202) 828-0526

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