Pa. Gov. Okays Malpractice Suit Restriction

Gov. Schweiker's action "will curb some of the lawsuit abuse being directed at the state's healthcare community," according to a statement from the American Insurance Association in Washington.

"This law is a huge victory that will help reduce the costs of malpractice lawsuits and help ensure that medical providers continue to practice in the state," said Sarah White, property-casualty policy manager for the Alliance of American Insurers in Downers Grove, Ill.

Pennsylvania's Senate gave final passage to the bill on the same day that Mississippi Gov. Ronnie Musgrove put his signature on a sweeping medical malpractice reform law for that state. The Mississippi law also includes a provision against forum shopping.

After the bill passed in Pennsylvania, Gov. Mark Schweiker, in addition to thanking the Senate, praised the General Assembly for taking a "significant step forward in our efforts to make sure that Pennsylvanians have access to world-class, quality healthcare."

He continued that, "as we face the possibility of losing thousands of physicians because they can no longer afford to pay their malpractice insurance, the General Assembly's action to eliminate venue shopping sends a strong signal that we are serious about bringing stability to the marketplace."

R. Taylor Cosby, AIA vice president, Mid-Atlantic region, said, "With further reform, Pennsylvania can ensure that quality healthcare is available to its citizens."

Mr. Cosby said that Pennsylvania continues to lose physicians "due to the increasing severity of medical malpractice lawsuits. As a result of exorbitant jury verdicts and frivolous lawsuits, some physicians and other healthcare providers have been forced to leave the profession or the state."

Mr. Cosby noted that, earlier this year, Schweiker signed Act 13, which included several tort reform provisions. "The legislators are moving in the right direction, but more needs to be done," he concluded.

The Alliance's Ms. White also commented that "more reforms are necessary to make Pennsylvania a more favorable environment."

The AIA said it is supporting an effort by the Pennsylvania medical community to secure legislation that would cap non-economic damages.

The organization mentioned that there also has been a bill introduced to lower the mandatory amount of coverage required from $1 million to $250,000 and to use tobacco money to pay off a deficit in the Medical Professional Liability Catastrophe Loss Fund.

AIA said there will likely be a special legislative session in Pennsylvania this year to address the medical malpractice crisis. AIA represents 412 major insurance companies that provide all lines of property and casualty insurance and write more than $87 billion annually in premiums.