- 25
- August
2010
Among those arguing in favor of tort reform, cost savings in health care are usually listed as being one of the principal benefits. After all, supporters point out, premiums for medical malpractice liability insurance have been steadily rising. Doctors then pass on these rapidly-rising costs to their patients, contributing to enormous healthcare costs. Tort reform, the theory goes, will benefit everyone, because doctors will pay less for their insurance and pass these savings onto consumers, as well as ordering fewer "unnecessary" tests just to protect themselves.
But dig a little deeper, and you'll see that the logic of these arguments isn't supported by facts. Take the supposed medical cost savings, for example. A recent study by the Robert Wood Johnson foundation analyzed health insurance premiums in states that had enacted limits on damage awards. The study found that while the insurance premiums that doctors pay for their malpractice insurance were curtailed, those savings weren't seen by the general public, whose insurance premiums were unaffected.






