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The Administration Promises "Budget Dust" To Fix Medical Malpractice Morass

November 8, 2010

by Jeff Segal

Categories Medical Malpractice

I speak to doctors day in and day out. Many are still scratching their heads. Some have smoke fuming from their ears.

President Obama seemed to "get it" on at least one very volatile issue. Defensive medicine.

President Obama's message to the American Medical Association on June 15th, 2009 acknowledged the tort system is onerous to doctors. And he did recognize that defensive medicine is pervasive and contributes to wasteful spending. Pavlovian applause followed; perhaps the loudest applause he received during his talk- which was just shy of one hour.

Now, I recognize that it will be hard to make some of these changes if doctors feel like they are constantly looking over their shoulder for fear of lawsuits. Some doctors may feel the need to order more tests and treatments to avoid being legally vulnerable. That's a real issue.

The outreach continued:

And while I'm not advocating caps on malpractice awards which I believe can be unfair to people who've been wrongfully harmed, I do think we need to explore a range of ideas about how to put patient safety first, let doctors focus on practicing medicine, and encourage broader use of evidence-based guidelines. That's how we can scale back the excessive defensive medicine reinforcing our current system of more treatment rather than better care.

The reaction: Boos.

Nonetheless, the fact that President Obama acknowledged defensive medicine as a real, costly phenomenon, was progress. He had made a sound diagnosis. In the medical world, you cannot treat a condition properly until the correct diagnosis is secured.

Fast forward. Specifics of the health reform bill finally materialized. Given the volume of pages addressing reform, surely hidden in the document were a couple of pages devoted to defensive medicine; estimated as a $100 to $200 billion waste every year (other estimates run even higher). Imagine what could be done if those funds were redeployed for more useful endeavors.

But, it was not to be. The evolving bill had little to say on that topic.

Howard Dean, former chairman of the Democratic National Committee, at a town hall meeting last summer shed clarifying light on the omission:

Tort reform [wa]s not in the bill because the people who wrote it did not want to take on the trial lawyers. And, that is the plain and simple truth.

Now that the bill is statute, can the Administration point to any funds allocated to crafting a better health justice system - one that could definitely tackle the challenge of "lawsuit avoidance" medicine?

True to his word, a few months ago, President Obama awarded grants of money to organizations to address medical malpractice. Step in the right direction? False.

First, the amount of money granted was $25 million - for patient safety and medical liability projects. When diluted among the many grant recipients, that "ain't a whole lot of dough."

Next, the grants mainly address patients who are injured by errors, and do not address meritless lawsuits. Philip Howard of Common Good said it best:

While some of these projects might improve the process when patients are injured by medical error, none of them protects doctors from lawsuits where there were no errors. This unreliability drives defensive medicine. The Department of Health and Human Services is avoiding the reality that a new reliable system of medical justice is needed to end defensive medicine, a practice which contributes to the unsustainable growth in health care costs. The trial lawyers, a major contributor to Congressional campaign coffers, are the only beneficiary of the current system, and Washington appears unwilling to take them on, especially in an election year. We'll see in the fall elections if voters are still happy to have special interests put ahead of the public interest.

I don't only want to be the skunk at the garden party. Sometimes there is a breath of fresh air. One grant may be promising: A program in Oregon will develop and work to implement a "safe harbor" system in which physicians who prove they adhered to evidence based guidelines are protected from frivolous lawsuits. So, there might be one wirthwhile gem in the group.

Doctors will still need flexibility to deviate from clinical algorithms or guidelines when it makes sense for individual patients. Doctors should not have to choose between immunity from litigation and doing what is right for patients. Nonetheless, as I learn more, I will keep you posted on this development from the Beaver State ("Oregon").

Back to the diagnosis. Kudos to President Obama for making the right diagnosis. It is hard to practice compassionate, cost-efficient medicine "if doctors feel like they are constantly looking over their shoulder for fear of lawsuits." But, a correct diagnosis followed by no treatment is just an academic exercise.

By the way, guess what happens to doctors who make an accurate diagnosis and fail to recommend the right treatment? They get sued.

Jeffrey Segal, MD, JD, a neurosurgeon, is the founder and CEO of Medical Justice Services. Medical Justice Services is a member organization of Center for Health Transformation. For more information email info@medicaljustice.com or visit http://www.medicaljustice.com

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About the Author

Jeff Segal
Chief Executive Officer and Founder
Medical Justice
Greensboro, NC
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