State Society Responds to Governor’s Speech on Medical Liability
The Pennsylvania Medical Society agrees with Gov. Ed Rendell’s recent assertion that the medical liability environment in the commonwealth has improved, but cautions that more work is needed to ensure continued access to care.
Gov. Rendell in a speech Oct. 24, 2007, declared Pennsylvania a “success story” when it comes to medical liability reform.
Medical Care Availability and Reduction of Error (Mcare) Fund claims have been cut in half since 2003, Rendell said. Physicians must purchase $1 million in medical liability insurance—half from a private carrier and half from the state-run Mcare Fund.
Rendell also said the number of insurers writing medical liability policies has increased, although the State Society attributes some of this to a rise in physician-run risk retention groups (RRGs). In addition, he said two of the state’s largest medical liability insurance carriers—PMSLIC and MedPro—have recently asked for rate decreases from the Insurance Department.
Mcare is expected to announce a decrease in its annual assessment to physicians from 23 percent of the prevailing primary premium to 20 percent. The assessment is based on the cost of coverage with the Joint Underwriting Association, an insurer of last resort.
While these statistics are encouraging, the average payout in medical liability cases is still 60 percent more than the national average, according to Peter S. Lund, MD, president of the Pennsylvania Medical Society.
The number of physicians in the commonwealth remains stagnant, indicating that medical liability is still a problem, Lund said. Additional reforms, including capping the amount of non-economic awards for pain and suffering, would help recruit and retain physicians in Pennsylvania.
Last Updated: 8/13/2008