Wednesday, December 2, 2009

Would Medical Malpractice Tort Reform Really Help?

In October, the Congressional Budget Office (CBO) issued a report to Congress about the potential costs and benefits of instituting national tort reform in medical malpractice cases. While the CBO findings do suggest that tort reform might reduce health care spending and malpractice insurance premiums, the report also questions the impact this reform would have on patients' actual health.

The CBO estimates that the cost of medical malpractice claims, including insurance premiums, amounts to approximately $35 billion, or two percent of total health care spending. It further went on to estimate that if a group of tort reform proposals were adopted, total reductions around .5 percent of current total health care expenditures, or about $11 billion could be saved.

Few would argue with the appeal of saving billions of dollars in potentially unnecessary spending. However, the CBO rightly questions the other impact of medical malpractice tort reform, namely the outcome on actual medical patient health. In its report, it expressed concern about the broader impact these reforms might have on the public in the way of health outcomes. The problem is that many studies inquiring into the impact of medical malpractice reform only study the economic concerns and largely ignore the impact on people's actual health.

Unfortunately, the few studies that have considered the impact on people's health have lead to inconclusive results. The CBO report cites one startling 2009 study that suggests "a 10 percent reduction in costs related to medical malpractice liability would increase the nation's overall mortality rate by 0.2 percent." However, it cites two other studies that suggest there is no connection between tort reform and an adverse effect on patient health. Clearly, before Congress passes national medical malpractice reform, more research must be done to better determine the impact such reform would have on patients nationwide.

Paulsen & Armitage is always apprised of changes in medical malpractice laws both at the state and national levels. We have an in-depth understanding of medical malpractice laws, issues, and litigation, and we are committed to staying current on all of the fast-moving developments in the area of medical malpractice tort reform. If you or someone you know is a victim of medical malpractice or medical negligence, contact us for assistance.