OPINIONS
Editorials
Commentaries
Columnists

 

Smoke screen

Malpractice suits not to blame for big insurance fees

By Barbara J. McKee
Tribune Columnist

July 19, 2005

Barbara J McKeeThe wool that has been pulled over the public's eyes for the last 20 years or so has finally worn thin.

Reports show that rising health care costs cause rising insurance premiums - not the old excuse of high malpractice awards.

A team at Johns Hopkins University released a study that found malpractice awards in the United States figure out to a measly $16 per capita. Compare that with other industrialized countries that, unlike the United States, have universal health care. Britain's, for example, is $12 per capita - not much different from ours.

But this same team found that in 2002, Americans paid more for prescription drugs, hospital stays and doctor visits than citizens of other industrialized countries.

One argument is because Americans pay more for health care, it's better here. Not so. The study found no evidence that compared with nations with universal health care, U.S. citizens who spend more for health care get more services.

"Commonwealth Fund-supported research has indicated that the U.S. does not get commensurate value for its health care dollar," said Commonwealth Fund President Karen Davis, whose group funded the study. "Compared with other countries, the U.S. lags on such quality indicators as access to care, including waiting times for physician appointments. In the United States, inequities persist between higher- and lower-income patients on almost every measure we look at, while other countries are able to assure access to care without creating disparities among patients according to income."

To add insult to injury, the United States has less access to some services - such as hospital beds, time with doctors, nurses and MRI and CT scans - than citizens of other developed nations.

The study compared costs between 2002 and 2004 and found the price of care is the definitive bottom line explaining the constant rise in health care premiums.

For several years, there have been many legislative bills to limit malpractice. Proponents argue caps on malpractice awards would reduce insurance premiums.

That reasoning is just a scare tactic to keep profits high and prolong the resistance universal health care in the United States.

While Americans do file more lawsuits, they have good reason to. Every year, more doctors are dropping out of specialized care - especially obstetrics and gynecology and emergency room care - and moving into less expensive family practices. This is leaving a huge economic burden with those who stick with those specialties and must pay enormous malpractice insurance premiums.

But the outcomes of malpractice lawsuits are much different from what the insurance companies would want you to know. Two-thirds of the claims in the United States were dropped, dismissed or found in favor of the defendants, and the average payout was $265,000 - lower than the average award in Britain.

Proposed legislation that would limit malpractice awards to $250,000 is a smoke screen hiding what is really going on. The lobbyists, insurance companies, pharmaceutical giants and health care conglomerates don't want to give up the gravy train.

Fed-up consumers need to derail the train - now.

You can e-mail Barbara J. McKee at chairgrrl@chairgrrl.com. Her column runs on Tuesdays.

MORE MCKEE COLUMNS »

 
Search site for: Search help »