- Explore different tort reform measures, such as limits on non-economic
damages, the statute of limitations, or alternative dispute resolutions.
A “tort” may be defined as a wrong against another person, which harms them at least to some extent and creates financial liabilities by the person who causes the harm. This paper covers the pros and cons of two tort reforms: Limits on Non-Economic Damages and Elimination of Joint and Several Liability.
- Discuss the pros and cons of at least two tort reforms as they relate to
medical liability reform.
Limits on Non-Economic Damages
One of the significant advantages of this reform is that it saved hospitals significantly large amounts of money. According to Malani and Reif (2015), the change would save New York health organizations up to $400 million (Malani & Reif, 2015). One fact about the expenses is that the non-economic damages are usually unpredictable. Sometimes the damages get so many, a factor that forces health organizations to spend more than they expected. That factor increases the price of practicing medicine in general (Malani & Reif, 2015). The change also made health providers practice “defensive medicine.” That involves the use of treatment methods that are less likely to cause legal issues instead of using the processes that are more appropriate to the patient’s needs. One of the significant disadvantages of this reform is that the amount of money attached to the damages is sometimes applied to all cases regardless of their unique characteristics (Matter & Stutzer, 2015). It also does not provide clear guidelines for the allocation of monetary value to specific non-economic damages.
Elimination of Joint and Several Liability
One of the significant advantages of this reform is that it tries to reduce the amount of cost that the person who causes the harm incurs. The reform is against a system that enriches some people as a result of a single mistake (Matter & Stutzer, 2015). Limiting the amount of punitive costs is one way to show that the legal system is not there to make profits for some individuals or organizations.
One of the significant disadvantages of the reform is that it encourages individuals and organizations to cause harm to other people because they will not lose a lot through the legal system. Such individuals or organizations compare the gains and the losses that result from litigation processes (Matter & Stutzer, 2015). If the former exceeds the latter, they go ahead and act in ways that will maximize their profits without caring about the possible impacts of their activities on society.
- Comment on which appears to be the most feasible approach and why.
From the description, the Limits on Non-Economic Damages reform appears to be more feasible for several reasons. One of them is that it significantly reduces the cost of practicing medicine in general. One fact is that the non-economic damages are unpredictable, and health organizations can hardly plan for them.
References
Malani, A., & Reif, J. (2015). Interpreting pre-trends as anticipation: Impact on estimated treatment effects from tort reform. Journal of Public Economics, 124, 1-17.
Matter, U., & Stutzer, A. (2015). Politico-economic determinants of tort reforms in medical malpractice.