The Academy of Medicine of Cleveland/Northern Ohio Medical Association (AMC/NOMA) Heralds the Introduction of Medical Liability Legislation

CLEVELAND – The Academy of Medicine of Cleveland/Northern Ohio Medical Association (AMC/NOMA) applauds Senator David Goodman (R- Bexley) for introducing legislation today to address the medical liability crisis in Ohio. The bill is modeled after California’s Medical Injury Compensation Reform Act (MICRA) of 1975.

In April 2002, the AMC/NOMA launched a targeted campaign to raise the awareness of physicians, health care professionals and patients regarding the sharp increase in medical liability premiums in Ohio and the overall effect on medicine. The organization has mailed information on the crisis to over 7,000 physicians in Cuyahoga, Summit, and other contiguous counties. The AMC/NOMA president, Dr. Kevin T. Geraci, was one of the keynote speakers at a physician rally in Cleveland where physicians and the public came together to draw attention to this crucial issue.

“The AMC/NOMA has been working to bring this issue to the forefront since July, 2001” said Kevin T. Geraci, president of the AMC/NOMA. “Physicians in Northeastern Ohio were the first to feel the impact of this crisis. Physicians from this region have written legislators and the governor regarding this issue. We are pleased that our efforts have resulted in the introduction of this important legislation”, Geraci continued.

The legislation as introduced today include provisions such as:

Limits on Non-Economic Damages – Economic damages, such as lost earnings, medical care, and rehabilitation costs, are not limited by statute. The legislation would limit non-economic damages to $300,000.

Evidence of Collateral Source Payments – A defendant in a medical liability action may introduce evidence of collateral source payments, such as personal health insurance, as they relate to damages sought by the claimant. If a defendant introduces such evidence, the claimant may also introduce evidence of the cost of the premiums for such personal insurance.

Limits on Attorney Contingency Fees – The legislation would limit an attorney’s contingency fees to 35% of the first $100,000, 25% of the next $500,000, and 15% of any amount exceeding $600,000.

Advance Notice of a Claim – To further the public policy of resolving meritorious claims outside the court system, a claimant will be required to give a 90-day notice of an intention to bring suit for alleged professional negligence. If the notice is given within 90 days of the expiration of the statute of limitations, the statute is extended 90 days from the date of the notice. Current Ohio Law requires 180- days notice of an intention to bring suit.

Statute of Limitations – A claim for alleged medical negligence must be brought within one year from the discovery of an injury and its negligent cause or within three years from injury.

Periodic Payments of Future Damages – A health care professional may elect to pay a claimant’s future economic damages, if over $500,000, in periodic amounts. This avoids a claimant’s wasting of an award prior to actual need.

Binding Arbitration of Disputes – Patients and their health care providers may agree that any future dispute may be resolved through binding arbitration.

“While medical liability legislation is a large part of our agenda, the AMC/NOMA will still be pursuing judicial reform which is crucial for passage of an effective medical liability bill,” stated John A. Bastulli, M.D., chairman of the AMC/NOMA legislative committee. “Also high on our agenda for 2002 is HB 325, a bill that would allow physicians to jointly negotiate with managed care companies and could also make some inroads with the cost of physicians’ medical malpractice. The AMC/NOMA will maintain its grassroots effort towards passage of both joint negotiations and medical liability legislation. Unless meaningful medical liability legislation is enacted and remains in force in Ohio, there will be a devastating effect on patients’ access to quality care.” Bastulli further stated. Medical liability legislation has passed on two separate occasions in Ohio only to be overturned by the Ohio Supreme Court.

The Academy of Medicine of Cleveland/Northern Ohio Medical Association, headquartered in Cleveland, has advocated for patients and physicians for almost 180 years. Today, the organization continues its mission to “support physicians in being strong advocates for all patients to promote the practice of the highest quality of medicine.” To learn more about the AMC/NOMA and its initiatives, visit our web site at www.amcnoma.org. If you would like to interview a physician on this or another healthcare related topic, please contact the AMC/NOMA offices at (216) 520-1000.