NU Online News Service, Sept. 16, 12:26 p.m.EST

WASHINGTON—The healthcare industry is telling the congressional"super committee" that changes in the Medicare program to reducecosts should include medical liability reform.

In a letter to the committee sent this week, the HealthcareLeadership Council says the changes in medical liability lawsshould include a cap on non-economic damages in medical malpracticecases, as well as a one-year statute of limitations from the pointof injury to the filing of litigation.

The HLC says another change should be a "fair share" rule tohave defendants pay damages commensurate with their responsibilityfor the injury involved.

The proposals on changes to medical liability laws by theCouncil is part of an effort to ensure that cuts to the Medicareprogram are shared by participants as well as industry.

The HLC includes big pharmaceutical, medical device and healthinsurers amongst its members, specifically, Pfizer, Aetna and theMayo Clinic.

Its members are concerned that the industry will be forced toendure any cuts in the program, and that beneficiaries will not berequired to share in the burden.

Mary Grealy, HLC president, says her organization would be opento alternative approaches including linking liability protectionsto healthcare providers' use of health information technology andpractice of evidence-based medicine.

The super committee, composed of 12 members of Congress, ischarged with proposing $1.2 trillion in budget savings bymid-November.

The HLC letter was sent to members of the committee as well asthe leadership of both parties in the Senate and House.

Other components of the proposal submitted by the HLC includecreating a new "Medicare Exchange" in which private plans wouldcompete on the basis of cost, quality and value; gradually increasethe Medicare eligibility age from 65 to 67; and reform Medicare'scost-sharing structure.

The HLC says its recommendations would generate just over $410billion in budget savings over a 10-year period, based onCongressional Budget Office estimates and other published budgetprojections.

The Republican majority in the House since the new Congressbegan work in January have been unable to reach agreement onmedical liability reform legislation.

Democrats and Republicans are concerned that the proposals wouldpre-empt state laws that have worked well in curbing the cost ofmedical malpractice lawsuits.

Moreover, the CBO projections are that—even with all the changesin federal laws that have been proposed–the maximum savings over 10years would be only $54 billion out of an annual healthcare expenseof $2.2 trillion in the U.S.