Sunday, October 27, 2013

Medical malpractice insurer opposes med mal reform proposal in Tennessee

Day on Torts is reporting that a group of healthcare administrators in Georgia is pushing for a new law which would move medical malpractice claims out of the courts and into an administrative no-fault system for awarding limited compensation for victims of medical malpractice. Those supporting the legislation say that the new system, which would be similar to a worker's compensation system, would reduce healthcare costs.  Aside from the fact that reports have always shown a minimal (if any) correlation between litigation costs and health care costs (see here for more on that issue), Day on Torts reports that medical malpractice insurer MAG Mutual opposes the proposal because it claims that the bill would result in more claims, higher costs, more reporting, higher taxes and more bureaucracy.  Day on Torts makes a good argument in support of that view here.