tort reform

Sen. Al Franken Debates Health Care Reform

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Sen. Al Franken during the health care bill debate taking on Republican talking points on rationing, tort reform, taxes on CEO compensation and the need for reforming our health care system.



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I caught this on Hardball as well and was focused on Matthews touting tort reform as a solution to health care costs, which is nothing but a distraction and right wing talking point as Daphne Eviatar does a nice job of summing up here. Digby took note of why allowing the likes of Haley Barbour to tout Mississippi as a model for health care reform is absolutely ridiculous.

The state is a disaster when it comes to health care on every front. But they have reduced their premiums and now nobody can expect restitution if a drunk doctor cuts off the wrong limb, so everything's just ducky in Haley's world. In fact the whole country should "experiment" with Mississippi's great successes.

In case you were wondering, number one is Vermont, followed by Hawaii and Iowa. If Barbour and his buddies were willing to take the lead of the states that actually deliver pretty good health care his words wouldn't ring so hollow. But all he cares about is destroying trial lawyers on behalf of his rich friends and throwing poor people off Medicaid. I don't think that's a serious solution to the problem so there's no reason to listen to anything he or any other Republican says on this subject.

Lots of stats and more over at Digby's place. So much for that "librul" media huh?

Transcript via Nexis Lexis below the fold.

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Taking Away Patients' Rights To Further Enrich Insurance Companies

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What a week. We've already seen Blue Dogs take women to the back of the bus (or was it the alley?) with Stupak's impressively Stupid Amendment. Now we're hearing that those who supposedly worry about "too much spending" when it comes to health care--you know, the meatloaf-brains who rejected the public option, which would create competition and actually bring down costs--are now blathering on about embracing "tort reform."

Because you'd really want to take away the rights of victims in a democracy to lower the health care costs by...wait for it...wait for it... ".5%" (according to the CBO).

All you really need to know is that Blue Dogs/GOPers (is there any difference?) are those in favor of this counterproductive course of action, yet if you do indeed need more, watch the heart wrenching videos recounting the tragic results of medical malpractice. To learn more about the 98,000 lives lost due to medical error each year--or 268 every day--go to 98,000 reasons, a website set up by the American Association for Justice. Once there send a message to your Senator: Remind them you won't have your rights further stripped away so they can scarf down more caviar with their contributors at Big Insurance.

More videos below the fold:

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Gingrich and Perry Tout Texas Health Care Mess

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Everything, they say, is bigger in the Texas. So it is with the failure of the health care system. Leading the nation with a jaw-dropping 25% of its residents uninsured, Texas ranked 46th in the Commonwealth Fund's 2009 scorecard of state health care performance. All of which makes Friday's op-ed by Newt Gingrich and Governor Rick Perry touting the mess in Texas all the more puzzling.

Just two days after the CBO dismissed a House Republican plan that would barely dent the rolls of the uninsured, Perry and Gingrich blasted Democratic health care reform in a Washington Post screed titled, "Let States Lead the Way." Besides dredging up Newt's worn out 1990's vintage talking points on unfunded mandates, the duo insist it is the Lone Star State which should be at the front of that vanguard:

Texas, for example, has adopted approaches to controlling health-care costs while improving choice, advancing quality of care and expanding coverage. Consider the successful 2003 tort reform. Fewer frivolous lawsuits have attracted record numbers of doctors to the state as medical malpractice insurance premiums dropped by half. Christus Health, a large Catholic nonprofit system with a significant presence in Texas, spent about $100 million on liability defense payments in 2003. Last year, Christus spent $2.3 million on such payments. Much of that savings has gone into expanding health-care services in low-income neighborhoods.

As the Post's Erza Klein asks, "how's that working out?"

The answer, of course, is quite poorly. While from 2007 to 2009 Texas nudged its way from a horrific 48th to a merely miserable 46th in the Commonwealth Fund rankings, the health care system there remains an ongoing calamity for its residents. Among the poster children for the failure of red state health care, Perry's state brought up the rear across the five indicators measured. When it comes to health care access and equity, Texas is dead last. (See table above.)

While it is predictable that Republicans Gingrich and Perry cite Texas' draconian tort reform law as an example for the nation, the data is far from clear as to its benefits in actually reducing malpractice premiums, lowering costs and attracting physicians to the underserved state.

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In the wake of its shocking assessment that employer-provided health insurance now covers only 54.6% of the American people, Thomson Reuters released a disturbing assessment of wasteful spending in the U.S. health care system. Echoing the estimates of Obama OMB chief Peter Orszag and others, the analysis highlighted by Keith Olbermann Tuesday concluded that the United States wastes up to $700 billion a year - a third of the nation's total $2 trillion health care spending.

As Robert Kelley, vice president of healthcare analytics at Thomson Reuters and author of the white paper, put it:

"The bad news is that an estimated $700 billion is wasted annually. That's one-third of the nation's healthcare bill. The good news is that by attacking waste, healthcare costs can be reduced without adversely affecting the quality of care or access to care. That's the point of this report - to identify areas in the healthcare system that can generate game-changing savings."

Those game-changing savings, TR found, could be found across a broad range of health care spending. Between $600 billion and $850 billion, it estimated, is wasted on:

  • Unnecessary Care (40% of healthcare waste): Unwarranted treatment, such as the over-use of antibiotics and the use of diagnostic lab tests to protect against malpractice exposure, accounts for $250 billion to $325 billion in annual healthcare spending.
  • Fraud (19% of healthcare waste): Healthcare fraud costs $125 billion to $175 billion each year, manifesting itself in everything from fraudulent Medicare claims to kickbacks for referrals for unnecessary services.
  • Administrative Inefficiency (17% of healthcare waste): The large volume of redundant paperwork in the U.S healthcare system accounts for $100 billion to $150 billion in spending annually.
  • Healthcare Provider Errors (12% of healthcare waste): Medical mistakes account for $75 billion to $100 billion in unnecessary spending each year.
  • Preventable Conditions (6% of healthcare waste): Approximately $25 billion to $50 billion is spent annually on hospitalizations to address conditions such as uncontrolled diabetes, which are much less costly to treat when individuals receive timely access to outpatient care.
  • Lack of Care Coordination (6% of healthcare waste): Inefficient communication between providers, including lack of access to medical records when specialists intervene, leads to duplication of tests and inappropriate treatments that cost $25 billion to $50 billion annually.

But in its catalog of health care spending horrors, however, Thomson Reuters may have understated potential savings in one area while overstating them in another.

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Republican Malpractice Myths

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In recent days, Republican leaders have scored a series of political victories in their eternal quest for tort reform. Last week, the Congressional Budget Office (CBO) told Senator Orrin Hatch (R-UT) that an onerous package of malpractice curbs he championed could save the government an estimated $54 billion over 10 years. That came on the heels of President Obama's latest offer to support limited tort reform as an olive branch to recalcitrant Republicans balking at his health care proposals, including funding for a $25 million pilot program.

But largely overlooked in the heated discussions of damage award caps, special health courts, expert panels and national compensation schedules is the inescapable truth that the medical malpractice system has only a negligible impact on overall American health care costs. Republican horror stories of a torrent of baseless malpractice suits producing "jackpot justice" that fuels rising premiums for physicians and patients alike while driving doctors from practice simply don't comport with reality. The overstated, overblown, over the top and often outright false GOP claims suggest that the Republicans' real target is not the flawed American malpractice system, but instead the nation's trial lawyers whose campaign contributions help bankroll the Democratic Party.

Here, then, is a look at Republican Malpractice Myths:

  1. An Explosion of Malpractice Litigation
  2. A System Plagued by Frivolous Lawsuits
  3. Rising Damage Awards Key to Higher Malpractice Premiums
  4. Rising Malpractice Insurance Rates Driving Doctors from Practice
  5. Medical Malpractice Reform Would Save U.S. $200 Billion Annually
  6. Defensive Medicine Costs $200 Billion a Year

For the details and data behind each, continue reading.

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Preventing Political Malpractice

Health care costs are exploding. A robust public option would create competition that would lower costs, and increase access to life-saving medicine.

But wait! I have an idea! Let's eliminate the public option, and for good measure, take away the rights of the victims of medical malpractice by passing "tort reform." Even though, it um, doesn't work. You know, if by work, you mean lower health-care costs and do anything to help regular people afford health insurance.

But if you've been trained by "Permanent Majority" Rove, and your real purpose is to 1) Keep your corporate slop-providers happy 2) Punish a group that often gives donations to Democrats (lawyers) and 3) Pretend you actually care a whit about people who don't get Yacht Shoe Weekly, then bingo! You have your made up issue.

Thankfully, the American Association for Justice has begun a campaign to tell the truth about this issue, about the 98,000 people who lose their lives each year due to preventable medical error:

The American Association for Justice announced today it is launching what it called the first phase of a nationwide ad campaign "to educate lawmakers about the epidemic of preventable medical errors and how tort law changes won't lower costs or cover the uninsured."

The ads, running in Washington publications and on online news sites, say the estimated 98,000 deaths from preventable medical errors is "like two 737s crashing every day for a whole year."

But the ad concludes:"Would we blame the passengers or the airlines?"

Well, we know who Republicans and Blue Dogs would blame. The passengers. The pilots. The unions. Gay Marriage. Stem-cell research. But never the big corporations who make the planes.

Thankfully, we know better.

Disclosure: I'm damn spankin' proud to be working with the American Association for Justice to protect patients' rights.