Jan. 14, 2005 - Malpractice Cost Limits

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With malpractice insurance premiums growing at unprecedented rates, many states are mounting major campaigns to control physicians’ insurance costs by limiting civil litigation.  The latest push for reform comes at a time when President Bush has pledged to push for federal restrictions on medical malpractice lawsuits.

"Medical malpractice costs have driven tort reform across the country," said Gretchen Schaefer, spokeswoman for the American Tort Reform Association, a nonprofit group that advocates restrictions on a wide range of personal injury lawsuits. "When you get an issue like that, where people are feeling the impact, having to do things like drive across state lines to have babies, it opens the door to a broad discussion of our class action system."

In Kentucky, Gov. Ernie Fletcher, a doctor and former congressman, made malpractice costs a priority after taking office last year, but failed to get legislation enacted. He has pledged to try again this year.
And in Maryland, Gov. Robert L. Ehrlich Jr., who also came from the House Republican caucus, took a page from Mr. Barbour, calling the General Assembly into special session late last year to combat the high cost of malpractice insurance.

On Monday, Mr. Ehrlich vetoed a bill approved by the Democratic-controlled legislature that he considered too weak. The legislature overrode his veto on Tuesday.

The battles pit two of the nation's most powerful campaign contributors: trial lawyers and doctors.

In the 2004 campaign, the American Trial Lawyers Association political action committee gave $2.1 million to federal candidates, almost all of them Democrats. The American Medical Association's political committee contributed nearly $2 million, with 81 percent going to Republicans.

"This is about the business community using physicians as a battering ram, because they are the ones with the highest sympathy level," said Randy McConnell, spokesman for Missouri Association of Trial Attorneys.