Medical Malpractice News

Ohio Medical Malpractice Rate Decrease of 1.5 Percent

Market continuing to stabilize

COLUMBUS – Department of Insurance Director Ann Womer Benjamin announced that three of the five largest medical malpractice insurers in Ohio have decreased rates by an average of 1.5 percent in 2006. The other two insurers are expected to file rate changes with the Department later this year.

“Curative measures taken the last few years by the Ohio Department of Insurance and the Ohio Legislature to stabilize Ohio’s medical liability insurance rates have provided positive results,” Director Womer Benjamin said. “We continue to closely monitor the market and scrutinize rates to ensure Ohio’s health care delivery system remains functional.”

This year’s combined rate decrease follows an average increase of 6.7 percent in 2005. These follow rate increases of 20 percent in 2004 and about 30 percent in each of 2002 and 2003.

Medical Protective Company became the first major medical malpractice insurer to lower its rates in Ohio in the last six years after the Department accepted its 5 percent decrease. The Medical Assurance Company continued a four-year trend of lower rate increases with a rate revision averaging zero percent for its policyholders. The OHIC Insurance Company increased its rates by only 2.3 percent after six years of double digit increases.

Curative action taken by the Ohio Department of Insurance and Ohio Legislature that have stabilized rates:

· Tort-reform: Medical malpractice non-economic damages were capped in 2003 by tort reform legislation. The measure was taken to control costs, since premiums are driven primarily by claims costs and lawsuit defense and settlement costs.

· Data collection: The Department for the first time is collecting medical liability data as required by a new law. The data, which includes insurers’ costs of defending medical liability claims, and paying judgments and settlements, will allow for more precise monitoring of the market and more informed policy decisions.

· Rate review: A new rule proposed by the Department and recently enacted requires medical liability insurers to justify their rates to the Department every year, even if they plan no changes to them.

· Ohio Medical Malpractice Insurance Commission: The Commission – chaired by Director Womer Benjamin – issued its final report in April 2005 to Governor Taft, the Ohio Legislature and other interested stakeholders. The report suggested the creation of a “patient safety center” to help prevent medical errors, a pilot medical malpractice docket for lawsuits, and alternative dispute resolution mechanisms, among other measures.

Please contact us if anyone you know has suffered from debilitating injuries due to medical malpractice in Michigan.

	Did You Know?
	You still have rights even if you signed a consent form A consent form does not give the health care provider a license to commit malpractice. While the execution of a typical consent form indicates acknowledgement of stated risks and complications associated with a given treatment or procedure, it does not relieve the health care provider from his or her duty of meeting the standard of care associated with such treatment or procedure.