Kaiser Daily Health Policy Report examines developments related to malpractice in three states and Washington, DC Summaries appear below.Illinois: Gov. Rod Blagojevich (D) and state lawmakers from both political parties on Wednesday "ended two years of stalemate" on medical malpractice reform by agreeing on a compromise proposal that would cap noneconomic damages, the Chicago Sun-Times reports (McKinney et al., Chicago Sun-Times, 5/26). The proposal (SB 475) would limit noneconomic damages to $500,000 in cases against physicians and $1 million in cases against hospitals (McDermott, St. Louis Post-Dispatch, 5/26). The measure also seeks to reduce frivolous lawsuits by requiring plaintiffs to obtain a report from a consulting physician attesting to the merit of claims. The proposal would create a Web site that would provide information to the public on physicians' background, including criminal convictions, malpractice awards and discipline. In addition, the measure includes a provision under which state regulators could reject a malpractice insurer's proposed rate increase if it is deemed excessive or unjustified. Finally, the proposal would increase the number of medical investigators to improve physician discipline, as well as provide immunity to retired doctors who volunteer at medical clinics or other health care facilities (Parsons/Long, Chicago Tribune, 5/26). The bill has the support of the leaders of both chambers of the state Legislature, and it is expected to pass as early as this week (St. Louis Post-Dispatch, 5/26). Rebecca Rausch, a spokesperson for Blagojevich, said the governor opposes caps on damages but will sign the bill because he is concerned about the state losing doctors because of high malpractice insurance premiums. Trial lawyers said they would file an immediate legal challenge of the legislation's constitutionality if it becomes law (Chicago Tribune, 5/26). According to the Sun-Times, the Illinois Supreme Court twice has gone on record against limits on damage awards in lawsuits (Chicago Sun-Times, 5/26).

Maryland: Medical Mutual Liability Insurance Society of Maryland, the largest malpractice insurer in the state, this week will send bills that credit physicians with the full amount of a state subsidy provided under legislation enacted earlier this year, the Baltimore Sun reports. The state Legislature in January overrode an Ehrlich veto to approve a bill to provide $27 million to hold malpractice insurance premium rate increases for physicians in the state at 5%, rather than the 33% increase planned by Medical Mutual. The bills, which are due in about three weeks, will apply the subsidy to the payment due for the third quarter. Physicians who have paid their malpractice insurance premiums for the full year can receive a refund or apply the subsidy to their premiums for 2006 (Salganik, Baltimore Sun, 5/24).

New Hampshire: The state Senate on Thursday approved a malpractice bill (HB 584) that would allow physicians to apologize to patients without concerns that plaintiffs could use the statements as evidence in malpractice lawsuits, the Nashua Telegraph reports. The state House passed the legislation earlier this year. The state Senate and House also have approved different versions of a bill that would limit the number of malpractice lawsuits that proceed to trial (Nashua Telegraph, 5/20).

Washington, D.C.: Physicians and malpractice insurers in the city paid less than $20 million in damages in malpractice lawsuits in 2004, compared with more than $45 million in 2001, according to a study released on Tuesday by Public Citizen, the Washington Post reports (Montgomery, Washington Post, 5/25). In addition, the study, which analyzed data from the National Practitioner Data Bank, found that the number of obstetricians in the city increased from 216 in 1995 to 226 in 2003. However, according to the Medical Society of the District of Columbia, the city only has 162 obstetricians, 61 of whom no longer deliver babies because of high malpractice insurance costs (Greenfield, Associated Press, 5/24). The study also disputes the claims of physicians, malpractice insurers and other supporters of a bill proposed earlier this month by Mayor Anthony Williams (D) that seeks to reduce to cost of malpractice insurance in the city (Washington Post, 5/25). According to David Catania, chair of the D.C. City Council Health Committee, the bill likely will not pass without large revisions. In addition to the health committee, the council Judiciary Committee and Consumer and Regulatory Affairs Committee also will consider the bill (Redding, Washington Times, 5/22).

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