Insurer Group Lauds Medmal Proposals

The Physician Insurers Association of America is pointing to conclusions by two bipartisan panels for medical malpractice reform as supporting its views that sensible legal reforms curbing medmal claims are critical for deficit reduction policies to work.

In justifying changes in medical professional liability (MPL) laws, The PIAA, Rockville, Md., cites the work of two groups that, working independently, are crafting deficit reduction policies.

One group, the Bipartisan Policy Center’s Debt Reduction Task Force, Washington, recent unveiled a report calling for effective medical professional liability reforms as a part of the solution to alleviate the country’s current budget deficit. That group is chaired by Pete Domenici, former Republican U.S. Senator from New Mexico; and Alice Rivlin, former Director of the Office of Management and Budget under the Clinton Administration.

PIAA also points to the draft report of the co-chairs of the National Commission on Fiscal Responsibility and Reform. This proposal also notes the benefits of medmal reforms to the federal budget.

PIAA “applauds the Policy Center’s Task Force, as well as the chairs of the Commission on Fiscal Responsibility, for recognizing that sensible reforms, such as limiting noneconomic damages, would result in notable savings for Americans,” says Lawrence E. Smarr, PIAA president.

The Policy Center report calls for federal incentives to encourage states to enact meaningful caps on noneconomic and punitive damages in MPL lawsuits.