Medical liability reform has been discussed for many years as an important legislative issue to ensure access to health care and affordable health insurance.  Over the past few years, the United States House of Representatives has, in fact, passed federal legislation on medical liability laws during both this session of Congress as well as in the 108th Congress.  Unfortunately, the bills were never passed by the Senate due to opposition by some parties and the inability to garner enough votes to avoid a filibuster.

The week of May 8th has been designated as Senate Health Week.  A number of health issues will be addressed, including a return to the medical liability issue.  New legislation has been introduced (S. 22) that will address medical liability reform in a new way, modeled after successful reforms enacted in Texas. 

The proposal aims to improve access to health care by implementing comprehensive and effective liability reforms.  This would be accomplished by limiting a health care provider’s civil liability for non-economic damages (pain and suffering) to $250,000, limiting a health care institution’s civil liability to $250,000, and placing a cap on the liability for non-economic damages (when a judgment is rendered against more than one health care institution to $250,000 for each, or $500,000 for all institutions).  The Senate proposal will also preserve a state’s right to maintain its own medical liability laws and allow future state laws to supersede federal damage award limits. 

A second bill, S. 23, will also be introduced.  It is almost identical to S.22 but limits its scope strictly to providers in the OB/GYN practice area, one of the hardest hit specialty areas on this issue.  NAHU continues to support medical liability reform efforts in Congress.  Frivolous lawsuits and the practice of defensive medicine have driven up the cost of health care and the cost of health and malpractice insurance, and have reduced access to care in some areas to dangerous levels.  Watch for more information on important action needed in this area in the next few days.

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Finding a way to reduce health insurance costs for small businesses has been a discussion in Congress for many years, including during the current session.  As we’ve previously advised you, Senator Mike Enzi (R-WY), chairman of the Senate Health, Education, Labor and Pensions Committee, has sponsored a bill to address some of the issues faced by small employers. 

The Health Insurance Marketplace Modernization and Affordability Act of 2005 (S. 1955) will attempt to improve health insurance markets across the country by creating new ways to access coverage. It would create some level of uniformity among states with respect to small-group rating laws and mandated benefits requirements.  A few changes have been made to the bill that will increase its likelihood of passage, and it will go to the Senate floor during Senate Health Week.  Again, watch for more information on this legislation and action that you can take.

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With over 20,000 members -- and growing -- legislators at the federal and state level are listening to NAHU.  As Senate Health Week begins, we may call on you to respond to legislative action alerts or be available for other grassroots efforts.  Please watch for alerts heading into your inbox and take a minute or two to respond.  We appreciate all your efforts as members of the association as we continue to work to bring more affordable, quality health care to consumers across the country.

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Last month we alerted you to legislation that would drastically change the health insurance market in Massachusetts.  The legislation is intended to create new opportunities in the private health insurance market but includes items such as an employer mandate and an individual mandate, as well as a purchasing pool arrangement that will require careful attention. 

Massachusetts Governor Mitt Romney (R), who worked with members of the House and Senate on this legislation, did exercise his line-item veto power to veto a number of provisions contained in the health care reform bill he signed on April 15.  The provisions he vetoed include: appointment of members to the Public Health Council by private organizations; MassHealth coverage for special-status legal aliens; restoration of dental benefits to certain adult MassHealth recipients; the $295 employee assessment for employers with 11 or more employees that do not provide health insurance; requiring the Department of Health and Human Services to seek an amendment to receive maximum reimbursement for health services; requiring a report to be completed before any changes can be made to behavioral health services in state health programs; requiring a report to be completed by July 1 on the impact of the employer fair share assessment; and a provision addressing the authority of the president of the University of Massachusetts. 

The House voted to override all of Romney’s vetoes and the Senate is expected to do the same.  The regulatory phase of the legislation will begin in June with anticipated clarification on numerous provisions of the legislation.

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• Cover the Uninsured Week is May 1-7.  A number of events will take place around the country. 

• The May 15 deadline is approaching fast for eligible beneficiaries to sign up for the Medicare Part D benefit.  Thirty million people have now enrolled in Medicare Part D.  Please take a moment to contact people you know who are eligible and may not have enrolled for coverage yet.  The penalty for late enrollment is 1% per month of delayed enrollment,  and is permanent.  Those who are currently enrolled in other creditable coverage will not be subject to the late enrollee penalty if they later enroll on a timely basis.  Medigap policies H, I and J, which include benefits for prescription drugs, are in general not considered to be creditable coverage.

• Please take a few minutes to fill out the Citizens Health Care Working Group Survey and add “NAHU” affiliation code.  It is very important that we make our voice known on this.


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