Re: OB: Why is there litigation for persistent nerve injury

From: art fougner, md (evsono@pipeline.com)
Tue Apr 28 08:05:45 1998


hey hey - looks like the insurance industry is waking up to the tort nightmare the docs have been enjoying for quite some time. Today, from Reuters -

Legislative

Expansion Of Liability Called A "Threat" To Insurance Plans

WASHINGTON, Apr 28 (Reuters) - Permitting patients who have been denied care to sue their health plans could boost premium costs by between 2.7% and 8.6%, resulting in the potential loss of health insurance for between 561,000 and 1.8 million Americans in 1999, according to a study released Monday by the American Association of Health Plans.

The analysis, conducted by the Barents Group and released at a Monday news conference was sponsored by the Health Benefits Coalition, a group of business and insurance groups that oppose legislative efforts to regulate managed care. Results showed that liability provisions such as the one included in the Patient Access to Affordable Care Act, or PARCA, would require health plans to pay more for liability insurance, to relax utilization review requirements to potentially allow more "defensive medicine" in order to avoid being sued, and to maintain additional records on treatment decisions.

"We see the proposed expansion of liability as the greatest of many threats..." in various managed care mandate bills under consideration in Congress, said Bruce Josten, Executive Vice President of the US Chamber of Commerce. Josten said that, because some of the bills would also permit aggrieved patients to sue their employers, his organization would urge its members to stop offering health insurance if such legislation was to become law. "Liability expansion directly threatens the future of employer-provided healthcare coverage," he said.

Speakers at the news conference said that they would oppose liability expansions even if the expansions do not reach employers. "Scarce resources for healthcare should be provided for healthcare, not vacation homes for trial lawyers," said Samuel Maury, President of the Business Roundtable, which represents the nation's largest employers.

AAHP President Karen Ignagni argued that Congress should not pass any legislation at all to regulate managed care practices, because the problems are already being fixed. "The private sector is working together to address all of the issues that are on the political table," she said.

-Westport Newsroom 203 319 2700

At Sun, 26 Apr 98, Robert J. Woolley wrote: >
>In message <v03007800b1690b62441f@[208.2.63.29]> writes:
>>

SNIP >
>No, you're correct. The system is inefficient, in that most truly injured
>patients get no compensation, and much of the compensation goes to
>administrative costs (e.g., lawyers) rather than to the damaged party. This is
>why some economists predict that eventually the system must give way for a
>no-fault system, rather like worker's compensation. (If you're injured, you get
>actual damages, but not pain/suffering, and there's no determination of whether
>negligence was involved.)
>
>--
>---------------------------------------------------------------------------
>
>---------------------------------------------------------------------------
>Bob Woolley
>---------------------------------------------------------------------------
>St. Paul, Minnesota
>
>The pun is mightier than the s-word.
>
> --Harlow Soderborg Clark
>

--
art fougner, md
SonoScan/Genetic Sciences
forest hills, ny
evsono@pipeline.com




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