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MEDICAL
MALPRACTICE CONTINGENCY FEES
It's been widely reported reported that the cost of health care coverage for the average Coloradoan is a growing problem, especially in rural areas. Reforms are needed to address this problem, and the first logical place for reform is in Colorado's tort reform arena. One of the key factors in rising health care costs is the high cost of medical malpractice coverage, which is contributing to a shortage of providers in rural Colorado. These rising costs are ultimately paid by employers, employees and their dependent family members.
Civil Justice Fact Sheet House Bill 1060 A recent article in Healthcare News reported “skyrocketing medical malpractice insurance premiums are wreaking havoc in communities throughout the U.S. Jury awards for medical malpractice claims jumped 76% from 1996 to 1999, according to the latest edition of ‘Current Award Trends in Personal Injury’ by Jury Verdict Research.” The high cost of medical malpractice coverage is contributing to a shortage of providers in rural Colorado. In particular, there is a scarcity of health care specialists, which result in higher contract fees for health insurance carriers. These higher costs are ultimately passed on to Colorado employers, employees and their dependent family members. To fend off litigation and cope with steep premiums doctors are practicing defensive medicine by ordering additional and sometimes unnecessary medical tests. Insurers may be reluctant to pay for them, but doctors want to order them to protect themselves from lawsuits. According to the Quarterly Journal of Economics, such “defensive medicine” adds $50 billion per year to the nations overall healthcare spending. HB 1060: · Limits contingency fees to 20 percent on medical malpractice cases · Helps reign in rising health care costs · Allows for better and more appropriate care by medical professionals · Creates parity in the laws for medical malpractice and workers compensation LIMIT CONTINGENCY FEES IN MEDICAL MALPRACTICE CASESVote ‘Yes’ for HB 1060 |
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