The Malpractice Insurance Crisis: The Impact on Healthcare Cost and Access

Michael Millenson, Northwestern University, 2003.

Focus: To investigate the impact of rising medical malpractice insurance premiums on healthcare access and costs.

Study Design: Survey of Blue Cross and Blue Shield Plans.

Results:

• One hundred percent of Blue Plan Executives in medical malpractice insurance crisis states (as defined by the American Medical Association1) believe that rising medical malpractice premiums are a problem. In non-crisis states, 66 percent view it as an "extremely" or "very" important problem.
• A majority of Blue Plans in crisis states report that local doctors are cutting back on some aspect of patient care.

-Fifty-six percent of Plans in crisis states say physicians are refusing some high-risk procedures, versus 32 percent for non-crisis states.

-Fifty-six percent of Plans in crisis states say more physicians are leaving practice or retiring, versus 41 percent of respondents in non-crisis states.

• Fifty-four percent of BCBS Plans predict that fees for obstetrician/gynecologists are likely to rise in response to higher medical liability premiums, while 49 percent say that surgical fees will rise.

Full Study:
The Malpractice Insurance Crisis: The Impact on Healthcare Cost and Access
(PDF format, 140KB)