3.3.12: Medical Malpractice
Medical malpractice reform. Other Information:
(Saves $2 billion in 2015, $17 billion through 2020) Most experts agree that the current tort system in the United States
leads to an increase in health care costs. This is true both because of direct costs – higher malpractice insurance premiums
– and indirect costs in the form of over-utilization of diagnostic and related services (sometimes referred to as “defensive
medicine”). The Commission recommends an aggressive set of reforms to the tort system. Among the policies pursued, the following
should be included: 1) Modifying the “collateral source” rule to allow outside sources of income collected as a result of
an injury (for example workers’ compensation benefits or insurance benefits) to be considered in deciding awards; 2) Imposing
a statute of limitations – perhaps one to three years – on medical malpractice lawsuits; 3) Replacing joint-and-several liability
with a fair-share rule, under which a defendant in a lawsuit would be liable only for the percentage of the final award that
was equal to his or her share of responsibility for the injury; 4) Creating specialized “health courts” for medical malpractice
lawsuits; and 5) Allowing “safe haven” rules for providers who follow best practices of care. Many members of the Commission
also believe that we should impose statutory caps on punitive and non-economic damages, and we recommend that Congress consider
this approach and evaluate its impact.
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