Profession
Michigan insurer to cut rates in 2008
NEWS IN BRIEF — Posted Dec. 10, 2007
Michigan physicians say state tort reform is working, citing the state's largest carrier's recent decision to lower medical liability insurance premiums.
American Physicians Assurance Corp. announced it will slash rates by 12% to 25% in 2008 for some Detroit-area specialists, including obstetricians, neurosurgeons and orthopedic surgeons. Policyholders statewide will see an average 6.5% rate reduction take effect Jan. 1, 2008.
Insurer executives and Michigan State Medical Society officials credited 1993 reform measures that placed a $280,000 inflation-adjusted cap on noneconomic damages in most medical liability cases. The award limit now stands at $394,200. The legislation also includes certificate of merit requirements and expert witness standards, among other provisions.
American Physicians' executives and doctors say the reforms have helped curb lawsuit filings and high jury awards.
Note: This item originally appeared at http://www.ama-assn.org/amednews/2007/12/10/prbf1210.htm.
