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The Financial Professional's Guide to Healthcare Reform by Gregory Anderson, Mark Dietrich

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Chapter 12

Medical Tort Litigation Demonstration Program

Few national political matters are as divisive as the issue of medical malpractice liability reform. The basis for medical malpractice liability is to serve as a means to return the injured individual or group of individuals to a state of being prior to the purported injury, while serving as retribution to the healthcare provider(s) who caused the injury, and to serve as a deterrent to other healthcare providers who might cause similar injury to another individual or group of individuals. Supporters of reform legislation quote numbers in the billions of dollars annually in terms of costs of malpractice liability and defensive medicine, estimated at $55.6 billion in 2008 dollars annually.1 Costs like these are ultimately passed along to consumers through increases in health insurance premiums, medical care costs, and the prices of other goods and services. Patients are also exposed to risks associated with unnecessary medical tests. Other statistics are also noted, including the following from a 2010 American Medical Association report2:

img Among physicians surveyed by the American Medical Association, there was an average of 95 medical liability claims filed for every 100 physicians.
img Nearly 61 percent of doctors age 55 and over ...

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