|
Medical
malpractice premiums for some specialties in New York can exceed
$100,000 in some areas of the state, according to a new analysis by
Excellus BlueCross BlueShield insurance company.
“Medical
malpractice rates for New York physicians are neither the highest nor
the lowest in the country, but they continue to be an issue of
concern,” said Dr. Martin Hickey, Excellus BCBS senior vice
president for health care affairs. “It’s well established
that fears of malpractice liability can lead physicians to expensive
defensive medicine practices that don’t help the patient and
waste precious resources.”
The
analysis, “The Facts About NYS Medical Malpractice Coverage
Premiums,” shows that there is more than a 400 percent disparity
in premiums between an internist in Rochester ($5,642) and an internist
in Long Island ($26,847).
“A
similar differential exists for other types of physicians,” a
release on the report said. “For example, a general
surgeon’s premium rate in Rochester is $18,026, contrasted with a
Long Island surgeon’s rate of $85,772; and
obstetrician/gynecologists in Rochester may pay $30,084 while their
Long Island counterparts face a standard rate of $143,148.”
The
analysis found that typical malpractice rates for a general surgeon in
New York ranged from $85,772 a year on Long Island to $18,026 a year in
Rochester. By comparison, general surgeon malpractice rates were only
$11,306 a year in Minnesota, and $17,003 in North Georgia—but
ranged as high as $193,819 in Detroit and $277,241 in Miami.
According
to the [Medical Liability Mutual Insurance Company], there were 932
physician medical malpractice claims closed in 2000 in New York,
reflecting losses of $281.4 million for an average loss of $301,974 per
case, the analysis said. "In 2004, there were nearly the same number of
claims closed – 931 – but they reflect losses of $362.2
million for an average loss of $389,089 per case, or a 29 percent
growth in costs during the five years."
The analysis found that new premium rates, effective July 1, 2005, rose by 7 percent.
“Few
people understand the costs related to medical malpractice coverage, so
we felt it was important to get the basic facts to the public to
enhance any debates regarding malpractice,” said Mary Paris,
Excellus BCBS health policy director.
“This analysis shows that the costs associated with practicing
medicine are exorbitant in some parts of the state,” said
Business Council President, Daniel B. Walsh. “And those
exorbitant costs for medical professionals translate into higher health
care costs for New Yorkers.”
The
Business Council has long supported policy changes that would rein in
the costs of medical malpractice for physicians and, in the process,
reduce the burden that those costs place on all of society.
The
Business Council has also consistently opposed bills designed to undo a
key medical-malpractice reform enacted in 1985: a limit on contingency
fees in medical malpractice cases.
Enacted
as part of the 1985 Medical Malpractice Reform Act, the fee schedule
for such cases allows lawyers to charge clients fees up to 30 percent
of the first $250,000 recovered, gradually declining to 10 percent of
any recovery over $1.25 million. With support from New York’s
famously aggressive trial-lawyers’ lobby, state legislators
regularly consider bills that would repeal this reform and reinstate
lawyer-friendly contingency fees that give more money to attorneys and
loss to victims.
The full analysis by Excellus is available in PDF format at www.excellusbcbs.com/download/files/med_malpractice_premiums_2005_excellus.pdf. 9-16-05
|
