Insurance Companies Get Richer, The Injured Get Screwed

According to research, medical malpractice insurance companies just keep getting richer. Since the turn of the century, the money insurance companies took in increased by 120% while the amount they paid out dropped by 15%.
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Even more surprising? States with a ‘cap’ or maximum amount recoverable for harm actually experienced an increase in the cost of premiums.

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A copy of the complete report can be downloaded and read here.

So, while everyone claims that medical malpractice insurance is getting too expensive and medical malpractice lawsuits are the problem, the real problem appears to be aggressive lobbyists hired by insurance companies are seeking to further pad the coffers and profits of the insurance industry at the expensive of people. And yet, somehow, someway, the Utah legislature is considering LOWERING the damages cap in Utah. Of course, maybe they should look first to who they are serving.... The Utah Medical Insurance Association, one of the largest providers of malpractice insurance in Utah, carries nearly a quarter billion dollars in assets ($230,718,580 as of 2008). Greed, apparently, is good for the insurance companies.

Healthcare Transparency

At the federal level, debate rages over healthcare reform. At the local level, still waters run deep. The legislature created an ‘interim’ committee at the close of last session to study health care transparency and improvements. Despite meeting in secret and also hiding its list of improvements from legislative oversight committees, word is leaking out that the interim folks are bent on making it more difficult to bring suit if you are injured by medical malpractice. Instead of transparency and creating a healthcare system that actually works for patient’s rights, the interim committee is bent on preserving insurance profit.

So, in the upcoming local legislative session, expect to hear a lot about ‘tort reform,’ very little about transparency and patient’s rights.

In the meantime, you can take some steps: tell your legislator you want a Patient’s Bill of Rights; tell your legislator you want a public system where you can go to find out background information on your doctors, healthcare providers, nurses and hospitals... after all, you can already look up your local restaurant to find out how many times the health department has cited them for violations, shouldn’t you have access to the same information for those who hold your lives in your hands? Which is more important, finding out if Taco Bell left chicken out on the counter, or knowing that surgeon who is about to cut you has been sued for malpractice more than once?

Protecting the Incompetent

The medical malpractice insurance industry again seeks to shield the physician who negligently ignores safety in the emergency room (3 out of the last 4 years they tried and failed to push a similar bill). However, this time around SB0079 attacks patients and doctors alike. First, SB0079 raises the burden of proof for patients injured by negligent, unskilled or poorly trained emergency physicians by requiring a 'clear and convincing' standard. Second, SB0079 actually attacks physicians who dare to offer opinions critical of their peers. Physicians who testify against other physicians can be subjected to discipline for offering their honest opinion and criticism.

SB0079 shields the unskilled, poorly trained or plain negligent emergency room physician with a blanket immunity, allowing such physicians to remain unaccountable and in practice for all but the most horrific deaths or injuries in emergency rooms.

Raising the standard of proof for injuries from "preponderance of the evidence" to "clear and convincing" evidence is a solution looking for a problem. Already, Utah law takes into account the heated circumstances in an emergency room by requiring that physicians exercise reasonable care under those circumstances. Moreover, there have only been a few emergency room cases filed in the last few years. It makes no sense to shield these minority actors from legitimate claims by intimidating physicians who dare to offer critical testimony through potential disciplinary action.

If you find this intimidation tactic legislation offensive, contact your state legislator and voice your opinion. You can find your state representative by
clicking here for help finding your district and representative.

Medical Malpractice Crisis? Wrong.

Yet again, another study indicates that the whole 'medical malpractice crisis' is an overblown attempt by the insurance industry to support a crumbling argument for tort reform. Frequently we are told that physicians are fleeing the practice of medicine because trial lawyers have caused malpractice insurance premiums to skyrocket. Massachusetts has been described by the AMA as such crisis state, with settlement payments for victims of physician negligence the fourth highest in the United States.... Yet, surprise, "[m]ost physicians paid lower inflation-adjusted premiums in 2005 than in 1990." The reality, as always, is that the insurance companies pump up the malpractice crisis in order to pump up their own profits.
Study by
Health Affairs here.

Defending Trial Lawyers?

It doesn't happen often, so when it does, time to draw attention. A recent article on CNNMoney.com champions the much hated trial lawyer. Salient points include: Attorneys represent the last resort of employees wrongfully terminated or abused in the work place; Attorneys represent individuals against the greed of corporations willing to put out shoddy tires, tainted pet food and toothpaste and defective difibrillators. The only thing that keeps the corporate world turning is the knowledge that, if the corporate world tries to screw the individual, trial lawyers will be there to hold them accountable. "Simply put, what makes transactions possible is the knowledge that if trust is abused, the abuser will pay a penalty." Long live the trial lawyer, long live corporate accountability.

Lawsuit Happy Society?

According to Utah State Court Statistics personal injury lawsuits only make up 1% of the total cases filed in 2006 Read More...