TITLE
"Medical Malpractice: Problems in the Insurnace and Legal
Systems," Journal of Insurance Issues, Alfred
E. Hoflander and Blaine F. Nye. June 1989, Vol. XII, No. 2, pp.
1-21.
ABSTRACT
Medical malpractice insurance continues to be a topical and controversial
subject in the world in which law, medicine, and insurance merge. The mid-1980s
witnessed a new crisis--an affordability crisis, in many states. This research
examines data from Pennsylvania and finds that malpractice losses and thus
malpractice premiums are higher than they need be or could be if only each of
the three major groups (hospitals, physicians, and lawyers) would "clean
their own dirty linen." If the tort law system can be altered to
permit easier resolution of many of these claims with corresponding cost
savings, it is evident that premiums could possibly be reduced on the order of
5% to 10% on this basis alone.
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