Malpractice Costs Driving Doctors Out
Chicago Sun-Times
November 11, 2002

Soaring malpractice insurance premiums are forcing doctors to scale back their practices, retire early, move to other cities or find new work, physicians groups say.

On the North Shore, an obstetrician-gynecologist who will pay $118,000 in liability insurance next year is studying to obtain a pharmacist license.

"I never thought about doing anything else," said the 43-year-old doctor, who asked not to be named. "Now all I'm thinking about is what else can I do."

In the 12-month period ending last July, liability insurance premiums nationwide increased 24.7 percent for internists, 25 percent for general surgeons and 19.6 percent for obstetrician-gynecologists, the Medical Liability Monitor reports.

…

Doctors blame "frivolous" malpractice lawsuits and "jackpot" jury awards. "The dollars that go to pay for legal defense and plaintiffs' attorneys ultimately come from patients," said Dr. John Schneider, president of the Illinois State Medical Society.

But in the last 30 years, jury awards and settlements have gone up no faster than health care costs, a study by Americans for Insurance Reform found.

So far this year, there have been 211 malpractice settlements in Illinois, with an average award of $1.9 million, according to the Jury Verdict Reporter.

Some experts said the insurance industry and the economy are more to blame than trial attorneys and juries. Insurance companies make money by investing premiums in stocks, bonds and other investments.

For a copy of the complete article, contact AIR.