Even as Med Mal Cases Drop., Penn. Governor Steps Up Reform Effort

April 5, 2004

Citing data released from the state Supreme Court as “proof that our reforms are making a difference,” Pennsylvania Governor Edward G. Rendell has proposed a series of new bills to address the state’s medical malpractice situation. The proposals supplement those he offered in June 2003.

Rendell referred to court statistics showing a 30 percent decrease in the number of malpractice suits filed in 2003. He said these figures were a “tribute” to the reforms enacted by his predecessor and lawmakers before he took office.

“They confirm what I’ve said for more than a year – the reforms are good ones and will have an impact on the medical malpractice situation in Pennsylvania. However, it will take a few more years for those reforms to affect physicians’ bottom lines, so the reforms I’m proposing today are critical to both keeping the situation stable and to strengthening what is in place,” he added.

In his latest package, he recommends placing controls on attorney fees; creating a statewide mediation program; and extending the rate setting authority of the state insurance commissioner. He also builds on his Mcare abatement program, which was passed by the General Assembly in December. This program gives physicians and nurse midwives some $220 million of assistance with part of their medical malpractice insurance bills for 2003 and 2004.

Rendell praised the work being done by the Supreme Court in revealing filing data, saying that it was a true partner in making reforms reality.

“Pennsylvanians should know that we’re proposing solutions that are designed to help recruit and keep physicians in Pennsylvania,” Rendell said. “These are reforms we can make now and will have an immediate impact on the problem.

“Unfortunately, the issue of capping damage awards is being seen as the only reform issue for many people,” the governor said. “Those who view changing our constitution as a way to immediately solve the problem need to remember that it will take a few years, at minimum, before the question can appear on the ballot. I think it is unwise to wait that long to begin addressing the problems, and the reforms I’ve proposed can start having an impact on the problem much more quickly.”

Meanwhile, a proposal to allow dollar limits on pain-and-suffering awards in medical malpractice lawsuits has already passed the state Senate, but its prospects remain uncertain in the House of Represent-atives. Also, because a constitutional amend-ment is required to put the limits into law, it could take awhile. Both legislative houses must approve the proposal in two successive two-year sessions and then by voters in a statewide referendum.

Rendell vowed to stay out of the process of a constitutional amendment.

In the midst of the debate, Chief Justice of Pennsylvania Ralph J. Cappy released the court’s data regarding medical malpractice case filings. The preliminary findings show the number of filings last year in Philadelphia was cut in half from a comparable period in 2002. In Allegheny County, case filings dropped by more than one-third over the same period.

Overall, there was a 28.6 percent decline in statewide filings in 2003 in comparison to the previous three-year period, dating to 2000. The most significant declines occurred in the state’s two largest metropolitan areas – Pittsburgh and Philadelphia.

The court data also shows that only a small percentage of the lawsuits filed eventually reaches a jury verdict. Of those jury verdicts, nearly 75 percent favored physicians and hospitals. The figures do not show the fate of the cases that did not reach a verdict.

In assembling the court data, counties were asked for malpractice lawsuit claims filed in the past four years and to monitor new cases as they come in.

“These results are encouraging, though we are hesitant to infer a definite trend from this preliminary data,” Court Administrator of Pennsylvania Zygmont A. Pines said. “Given the chief justice’s request for increased data collection, the quality of med mal case data will improve over time.”

Data collection is just the latest in a series of steps Pennsylvania’s Supreme Court has taken over the past year to address concern over medical malpractice liability reform. The court approved a new procedural rule in 2003 that requires attorneys to obtain a certificate of merit from a medical professional that establishes the medical work in a case falls outside acceptable standards. Another change requires medical malpractice actions to be brought only in the county where the cause of action takes place – a move aimed at eliminating so-called “venue shopping.” The court is also developing an implementation plan for voluntary medical malpractice mediation.

Topics Pennsylvania

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Insurance Journal Magazine April 5, 2004
April 5, 2004
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