Average Medical Malpractice Payments Only $30,000; Payouts Virtually Flat for a Decade

Wednesday, November 14, 2001


MEMO

TO: Interested Persons

FROM: Joanne Doroshow, Executive Director, Center for Justice & Democracy

RE: Medical Malpractice Closed Claims Data

DATE: November 14, 2001


Attached please find a new spreadsheet of medical malpractice closed claims data, which updates point #2 (average closed claim payouts) in the October 13, 2001, analysis conducted by the Consumer Federation of America’s Director of Insurance, J. Robert Hunter. (Letter from J. Robert Hunter to Joanne Doroshow, October 13, 2001.)

Based on this new recalculation of data and after discussions with Mr. Hunter, we conclude as follows:

  • Average payouts have stayed virtually flat for the last decade. Between 1991 and 1998, payouts averaged around $30,000 per claim.

  • Payouts in the most recent years, 1999 and 2000, appear to be following the same pattern, although they are now extremely low as smaller claims tend to settle first. It remains to be seen how these claims will develop, but we do not anticipate any major change in this overall flat pattern of average payouts.

Medical Malpractice Experience Spreadsheet prepared by J. Robert Hunter (November 14, 2001)
Letter from J. Robert Hunter to Joanne Doroshow (October 13, 2001.)

 

Copies of the study can be obtained from CJ&D at 212/267-2801 or [email protected]

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