Doctors Decry Soaring Malpractice Rates
Washington
Physicians are facing medical liability insurance rate increases of up to 81 percent, and many health care providers are concerned about their ability to find affordable coverage, a new survey found.
Hospitals and physicians are responding to the rate increases in ways that affect access to health care, the survey by the Washington-based American Hospital Association revealed. Some physicians, the survey said, are retiring or moving to locations with lower premiums. Some providers are cutting back on high-risk services, such as delivering babies and certain types of surgery.
The medical liability issue affects the cost and quality of care, the survey found. Fearing lawsuits, providers may practice defensive medicine by ordering more tests than are medically justified, or take other administrative actions to reduce risk. The current legal environment also makes providers less willing to share information on medical errors, the survey found–information which could be used to prevent future errors, AHA said.
AHA said premiums are soaring because the median liability payment is up 58 percent since 1996, insurer investment income has declined, and some major insurers are leaving the market. The AHA noted that provider and insurer groups are calling for liability reform to address rising costs.
The survey added that tort reform is receiving more support at the federal level, partly because some state constitutions prohibit certain types of reforms.
Reproduced from National Underwriter Property & Casualty/Risk & Benefits Management Edition, July 1, 2002. Copyright 2002 by The National Underwriter Company in the serial publication. All rights reserved.Copyright in this article as an independent work may be held by the author.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.