Think Tort Reform will Reduce Health Care Costs? Think Again.

February 17, 2010

From the Sacramento Bee.

There might be good reasons to consider changes in how malpractice suits are handled. But the idea that tort reform would significantly slow, or even alter, the trajectory of U.S. health care spending is not among them.

The nonpartisan Congressional Budget Office recently estimated that tort reform could save $41 billion over the next decade, a figure now being touted by proponents.

To most of us, $41 billion is a lot of money. In the world of health care, it’s a tiny drop in a very large ocean. Between now and 2019, annual health care spending will increase by $2 trillion. Not to $2 trillion. It will grow by $2 trillion, from $2.5 trillion to about $4.5 trillion.

The projected savings from capping malpractice awards works out to a 2 percent reduction in what we otherwise would spend.

A Measly 2 percent!

Read the whole article/editorial here…

An idea to deal with Medical malpractice using a contract

December 26, 2007

So no more lawsuits. That’s the idea here. See this post over at the Cerebral Palsy Law Blog. The idea is to have the docros and the patients agree ahead of time what an injury woudl be worth. It would be more like life insurance with a set payout instead of the legal system with it’s risk of a large verdict.


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