Story #1
Read all 'bout how the trail lawyers that run
NY State Government peed-the-bed when Gov. Cuomo even thought about Medical Malpractice tort
reform!
Last Updated: 12:14 AM, January 22, 2012
Posted: March 21, 2011
New York stands on the brink of taking its first-ever
serious steps toward genuine tort reform -- and the benefits could be huge.
Provided Gov. Cuomo stands firm.
Because the ambulance chasers and their legislative allies
-- led by Assembly Speaker Sheldon Silver (D-Weitz & Luxenberg) -- are at
full throttle, screaming about the supposed triumph of "special
interests." (They're ones to talk!)
Trust us: It's all about billable hours.
As part of its 79 recommendations to realize $2.3 billion in
savings, Cuomo's Medicaid task force called for a $250,000 cap on non-economic
damages in medical-malpractice cases -- i.e., "emotional pain and
suffering." It also proposed an indemnity fund for brain-damaged infants.
Together, the two moves are expected to produce $700 million
in Medicaid savings. But they also mean a potentially significant loss of
income for tort lawyers, who love to boast of their multimillion-dollar jury
verdicts and settlements -- of which they get a very healthy slice.
No wonder the state Bar Association wasted no time in
reaffirming its "long-standing opposition to caps on non-economic damages
in medical-malpractice or any other tort action."
Trial lawyers aren't accustomed to making concessions;
they're used to Albany filling their outstretched hands -- as then-Gov. David
Paterson did last year, when he quietly slipped through a plan to lift a
quarter-century cap on medical-malpractice awards.
Fact is, just the threat of malpractice suits in
litigation-happy New York has sent doctors' insurance premiums soaring, not to
mention hospital costs -- which hit $1.6 billion in 2009 just for
lawsuit-related expenses. Those premiums, in turn, have driven away doctors, particularly
obstetricians.
To the lawyers, of course, this isn't about their share of
the take -- it's about "the ability of victims to be fairly
compensated." Ha!
Last week, the two legislative houses addressed the issue in
starkly different ways in their budget bills: The GOP-controlled Senate
preserved both med-mal measures; Silver's Assembly ditched the cap and proposed
the trial lawyers' changes to the indemnity fund, effectively making it
unworkable.
It's up to the gov to save his reform.
New York can't afford to let this historic opportunity slip
by.
Story #2
Just what you thought
would happen, and it aint just in NY either!
Tort Reform Betrayed in New York
New York Governor Andrew Cuomo’s surprising
push for tort reform came to an end Sunday night. The latest New York budget plan eliminates the proposed $250,000 “cap on non-economic
damages for medical malpractice awards” that would have saved the state an
estimated $384 million. Cuomo, a Democrat, abandoned the plan even after he accepted the Medicaid Redesign Team’s proposal.
The setback leaves New York’s blundering
Medicaid program unreformed and according to Mississippi Governor Hailey
Barbour, no meaningful changes can be made to until someone in the Governor’s
Mansion follows through on tort reform.
“The first rule [of tort reform],” Barbour told The Heritage Foundation last March,
“is that you cannot pass real tort reform unless it is led by a governor.”
The need for tort reform is obvious: New
Yorkers have felt the burden of soaring premiums and the loss of doctors from
the state. Bill Hammond of the New York Daily News wrote presents a
specific case: “It’s not unusual for New York ob-gyns to shell out more in
premiums than they take home in pay – which is why dozens either quit
delivering babies or flee the state whenever there’s another rate increase.”
Not enough, though, has been made of how tort
reform, or stopping “lawsuit abuse” as Barbour prefers to call it, will keep
jobs in New York and attract new business. Barbour related how in 2007, Toyota
chose to build a Prius assembly plant in Mississippi and “said publicly they
would not have chosen Mississippi if we had not passed tort reform.” Barbour’s
experience is not an outlier– economist Lawrence McQuillan reported that there is “57 percent greater
job growth in the tort reform states.”
While Cuomo’s 2% budget cuts are an admirable
step towards fiscal sanity, he must remember that New York ranks 49th in tort reform liability.
One of Cuomo’s first acts in office was to appoint
a Medicaid Redesign Team and it would be a disservice to his
constituents if he never returns to the issue of law suit abuse.
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