Tag Archives: MICRA

Malpractice Insurance Companies Gouging Doctors While Rallying to Save Cash Cow

MICRA does nothing to decrease costs, but makes a mint for malpractice insurers

by Brian Leubitz

Over the weekend, Insurance Commissioner Dave Jones exposed some of the mistruths that the insurance lobby has been using to fight to save their cash cow, MICRA.

Here’s the thing that nobody really talks about, and that is that those caps have not prevented excessive medical malpractice insurance rates. I know this because one of the first things I did as insurance commissioner was look at the medical malpractice insurance rates, and I discovered that the medical malpractice insurers were paying out in claims just a fraction of what they were collecting in premiums from doctors and nurses and other medical providers. So I actually have rate regulatory authority over medical malpractice insurance…what I did was I ordered the top six medical malpractice insurers to reduce their rates between 10 and 15 percent, and I have saved as a result $52 million annually in premiums for doctors and other medical providers.

Since the mid 1970s, the caps on non-economic damages have stayed exactly the same. And by exactly the same in money terms, it means that you are in fact going backwards every day due to inflation.  And all the while, as the value of $250,000 is getting increasingly small, medical malpractice insurance has been going up and up.

Doesn’t make much sense, does it? As Jones explains, some of the insurance companies have been using MICRA as a way to gouge doctors for increasing premiums while knowing that risk is heavily managed due to MICRA. Rather than some talking points about how MICRA is so critical, we need to look at the underlying facts of the devastating stories of families that are ripped apart with no way to seek justice and their day in court. MICRA, in many situations, closes the courthouse doors to expensive cases, especially when economic damages are difficult to prove. So the net result ends up with carte blanche on negligently treating the poor, the old, the young and those that just generally don’t have a high long term income stream.

We need real reform of the malpractice system, not merely abstract defenses of the status quo while bringing nothing to the table. Jones and others have argued that real reform is possible. It is certainly not the most exciting issue, that is, until it comes up in your life after a tragedy. But we shouldn’t wait for the pile of heartbreaking stories to grow to even more dizzying heights before we act.

Historic Step for Patient Safety & Victims’ Rights

Bob PackWe just wanted to let you know that we have filed a ballot measure that has been 37 years in the making. If we collect about 750,000 valid signatures, voters will have a chance to adjust for inflation a three and a half decade-old cap on the value of a child’s life if he or she is killed by medical negligence — a $250,000 limit that has never been changed.

Bob Pack, who lost his seven year-old daughter and ten year-old son on a roadside nine years ago, is the author of the ballot measure to address the drug overdose and physician accountability issues at the heart of his family’s tragedy, which you can read about below.

California voters have helped us qualify one initiative for next year’s ballot already — the Health Insurance Rate Public Justification and Accountability Act.  Now we wanted to let you know that there will soon be opportunities for you to work with us on a new health care reform measure that deals with patient safety issues. 2014 is shaping up to be “The Year of the Patient.” If you want to help out, please email us at [email protected] and let us know what you are willing to do.

The Troy and Alana Pack Patient Safety Act includes the following changes to California law:

  • Mandatory random drug and alcohol testing for physicians and mandatory physician drug and alcohol testing after reports of adverse events;
  • Mandatory use by physicians of the electronic CURES database, a searchable system that tracks prescriptions dispensed in California, which Pack developed for the state of California in the wake of his family’s tragedy;
  • Adjusting for inflation the 37-year-old $250,000 cap on recovery for medical negligence victims, which has not changed since 1975, and as the author of the original law, Barry Keene, recently came forward to support;
  • Requiring doctors who witness substance abuse by physicians or medical negligence to report it, and protecting those physicians from lawsuits by other doctors when they do.

Why is Bob Pack, our recent Rage for Justice Award-winner, taking on this cause?

Alana and Troy Pack were walking on a sidewalk in Danville with Bob’s wife, Carmen, when a drugged driver fell unconscious at the wheel and swerved off the road, killing the two children and injuring Carmen. The Packs also lost their unborn twins.

The driver, Jimena Barreto, turned out to be a doctor-shopping drug addict who was convicted of second-degree murder and imprisoned for 30 years to life. The Kaiser doctors who prescribed her thousands of pills, however, were never held accountable for their negligence.

Barreto had no physical symptoms, but managed to stockpile narcotics without any oversight.

In the wake of his family’s tragedy, Pack found that Kaiser’s doctors had no idea they were all over-prescribing to the same doctor shopper. There was no computer system tracking prescriptions patients received. Pack drew on his technology background to develop the electronic CURES database, a searchable system that tracks prescriptions dispensed in California. Unfortunately, too few doctors currently use the system. Kaiser does not use the CURES database either.

The Packs were only entitled to the cap of $250,000 for each of their children’s lives, because that is the maximum value of a child’s life under the 37-year-old cap on noneconomic damages signed into law during Jerry Brown’s first term as Governor.  The cap is worth merely $58,000 today in 1975 dollars.  Adjusting the cap for inflation would increase it to $1.1 million in 2013.

You can read the ballot measure here. You can read Los Angeles Times columnist George Skelton’s column on the ballot measure here.

We’re off to the ballot again.


Posted by Jamie Court, author of The Progressive’s Guide to Raising Hell and President of Consumer Watchdog, a nonpartisan, nonprofit organization dedicated to providing an effective voice for taxpayers and consumers in an era when special interests dominate public discourse, government and politics. Visit us on Facebook and Twitter.

Hall of Famer Speaks Out In Bee On His Family’s Tragedy And Patient Safety

Bob PackThe war over patient safety is heating up in Sacramento. Yesterday, Pulitizer Prize winning Los Angeles Times columnist Mike Hiltzik wrote a cut-to-the-heart of it column shredding the phony arguments of those resisting the patient safety reforms Bob Pack and Consumer Watchdog have been fighting for all year.

Hiltzik said, “It’s a very rare thing for a legislator to admit that a law he sponsored hasn’t worked out as expected. It’s even rarer for him to label it “oppressive” and call for its revision…It’s time to bring this 37-year-old law into the 21st century, and fix the malpractice system so that it actually works.”

In today’s Sac Bee, Consumer Watchdog’s Rage for Justice Awards Hall of Famer Bob Pack responds to the medical-insurance lobby’s oped yesterday opposing reform by talking about why his family’s tragedy spurred his activism.  Senate Pro Tem Darrell Steinberg even weighed in on the debate saying, “It’s not going to go away.”

Here’s Bob’s powerful oped:

Viewpoints: Cap on medical negligence claims is outdated and unfair to victims

July 11, 2013

When my 7-year-old daughter and 10-year-old son died suddenly on a roadside nine years ago, I was forced to confront not only the unimaginable grief of losing my young children forever, but also the reality that doctor discipline and accountability in California don’t exist.

Alana and Troy were walking on a sidewalk in Danville with my wife, Carmen, when a drugged driver fell unconscious at the wheel and swerved off the road, killing my two children and injuring Carmen. We also ended up losing our unborn twins as well.

The driver, Jimena Barreto, turned out to be a doctor-shopping drug addict who was convicted of second-degree murder and imprisoned for 30 years to life. The Kaiser doctors who prescribed her thousands of pills, however, were never held accountable for their negligence.

Barreto had no physical symptoms, but managed to stockpile narcotics without any oversight.

In the wake of my family’s tragedy, I found that Kaiser’s doctors had no idea they were all over-prescribing to the same doctor shopper. There was no computer system tracking prescriptions patients received. Since my background is in technology, I developed the electronic CURES database, a searchable system that tracks prescriptions dispensed in California.

Today, the tool is at the disposal of every doctor, law enforcement official and regulator in the state. Unfortunately, most of them don’t use it.

This is the sad story of the last 3 1/2 decades in California: physicians largely unwilling to police themselves, regulators turning a blind eye to available information about dangerous doctors, and a lack of legal deterrence to medical negligence.

The core of the failed doctor disciplinary system that killed my four children dates back to 1975. It was a punch in my gut when I learned that a California law capped the value of my children’s lives at $250,000.

Jerry Brown signed the law in his first term as governor, 37 years ago, and the amount has never been adjusted for inflation.

At the time, doctors promised that a strong new regulatory system would make up for the lost deterrence of the legal system, but patient safety scandals continue to rock California.

Kaiser still doesn’t utilize the CURES database. The physicians responsible for the death of my children were never disciplined by the California Medical Board. In fact, the current president of the medical board was the medical director at Kaiser who refused to make changes at the HMO following my family’s tragedy.

In 1975, legislators made $22,000 per year. Back then, a gallon of gasoline cost 57 cents. The value of everything has gone up since 1975, but not the $250,000 cap on the value of a child’s life.

The law is one size fits all, no matter how clear the negligence or how catastrophic the injury or loss. It sets a fixed cap on the value of a child’s life, and does the same to others whose quality of life is destroyed when their limbs, or vision, or ability to have a child are taken away by negligent doctors.

Of course, Troy and Alana were priceless. No amount of money can replace them. But when a child’s life is valued so little, patients face continued risks because the medical establishment has no incentive to change.

It’s time to adjust this 37-year-old cap so it is in line with the cost of living. Recently Barry Keene, the author of the law, came forward to say it should be indexed for inflation, and that was always the Legislature’s intent.

There is no danger malpractice insurance rates will rise. Since 1988, California’s malpractice insurance rates have been tightly regulated.

Unfortunately, the Legislature has not acted, which is why I am working with Consumer Watchdog on a ballot initiative, “The Troy and Alana Pack Patient Safety Act,” for the 2014 ballot. If California lawmakers are unwilling to prevent another family from going through the same tragedy Carmen and I faced, the voters will have their chance.


Originally published in Sacramento Bee on Thursday, July 11, 2013. Robert Pack is the founder of the Troy and Alana Pack Foundation and a leader of www.38istoolate.org.

Posted by Jamie Court, author of The Progressive’s Guide to Raising Hell and President of Consumer Watchdog, a nonpartisan, nonprofit organization dedicated to providing an effective voice for taxpayers and consumers in an era when special interests dominate public discourse, government and politics. Visit us on Facebook and Twitter.

MICRA and our Malpractice System Need Real Reform

Tort reform measure hasn’t been updated in over a generation

by Brian Leubitz

A lot of things have changed since 1975. For my part, I wasn’t born yet, but from what I hear it was a crazy time. Bellbottoms, long hair, and Gov. Jerry Brown. Well, maybe some things haven’t changed all that much. But, even the most jaded will admit that the dollar just isn’t worth what it once was.

Which brings us to MICRA, legislation passed in 1975 that was intended to reduce malpractice litigation and drive down the cost of malpractice insurance. It has done that, in fact, patients with all but the biggest instances of malpractice find it difficult to find a quality lawyer willing to take the case. Why? So-called “non-economic damages”, basically compensation for pain and suffering was limited to $250,000. That was a lot of money back then, easily sufficient to cover any legal expenses and to hire experts that you would need to prove your case in a court of law.

MICRA has been in the news of late, as there have been a few rather shocking results from malpractice cases. And as Consumer Watchdog points out, the results can be dangerous for patient safety. The California Medical Association, through its president, responds to the issue in today’s Bee:

If the trial lawyers are successful, it will mean more lawsuits against health care providers and higher payouts that benefit lawyers. Everyone else will pay through higher health insurance costs, higher taxpayer costs for state and local governments, and less access to the doctors, hospitals, clinics and other health workers we all rely on.

In other words, if the trial lawyers win, patients, families, health care providers, hospitals, clinics, businesses and taxpayers all lose.(SacBee)

Except, there is a lot on the other side that this leaves out. Unforutnately, regulators have rarely been there to catch mistakes, and investigate doctors. Litigation serves to expose dangerous flaws in the system, especially when the government fails to protect us.

Moreover, that $250,000 hasn’t changed since 1973.  In real dollars, the cap has been dropping dramatically. If the $250,000 had been adjusted for inflation, the cap would now be over $1,000,000. Again, typically plenty to provide for reasonable representation. Instead, that $250,000 is now equal to about $57,700, or less than a quarter of the original value. Litigation is expensive, and in major cases, costs to prepare experts for trial can reach staggering sums. And so, many malpractice cases just fall through the cracks. In fact, the author of MICRA, Asm. Barry Keene, is still upset about the lack of an inflation provision:

Keene, now 74 and long retired from the Legislature, is tormented by the failure to protect the $250,000 cap from inflation. As he explained to me in an email, he proposed an inflation-indexed cap in an amendment to his original bill, assuming it would pass routinely. Instead the trial lawyers lobby, which adamantly opposed MICRA, came out against the inflation index in order to make the bill as noxious as possible to guarantee its rejection.

They misplayed their hand. To their shock, MICRA passed the Legislature without the inflation provision, got signed by then-Gov. Jerry Brown and then was upheld by the state Supreme Court.(Michael Hiltzik / LAT)

MICRA has another perverse incentive: It’s cheaper to kill a baby, or a student, than an old, high-earning, adult. Economic damages are easy to judge for somebody with a relatively consistent salary, but much more difficult to prove for a child. A RAND study on the effect of MICRA, found some disturbing results:

Although the RAND study did not address the issue of what might be the proper amount of non-economic compensation for any particular plaintiff, the analysis revealed that jury awards for certain kinds of plaintiffs ” those with the most severe non-fatal injuries, those with modest levels of economic loss, and those who died as a result of malpractice ” are affected more often or to a greater degree by MICRA’s cap on non-economic damages than are awards for other kinds of plaintiffs. If such differences are believed to result in an inequitable application of the cap, policymakers favoring award limits might consider “carve-outs” that would exempt exceptionally tragic or egregious cases from the proposed cap.

The long and short of all that is to say that MICRA has some very real discriminatory outcomes. Damages for women are cut more than men. For children more than adults. For the fully-able over the disabled.  In fact, Hiltzik details the case of a developmentally disabled woman who was incorrectly thought to have a “Do Not Resuscitate” order, and ended up dying for the mistake. Her economic damages were low, so low that her brother wasn’t able to find an attorney to take her case.

These problems all come with the fact that California’s malpractice insurance really hasn’t been decreased. In fact, some studies have shown premiums are higher in California, and states with similar caps, than non-capped states. While the caps on MICRA are very low, the cost is quite high. In the end, the system weeds out the wrong cases. The cases that should get additional attention, in favor of wealthier plaintiffs and the profits of insurance companies. Reducing legal waste is a good goal, but we are throwing out much in that effort. In the end, it’s the wrong reform. Hiltzik argues, quite correctly, that we need a more thorough and targeted overhaul of the system:

The remedy is to make the process more efficient, perhaps by steering such cases to a specialized arbitration court. Simply padlocking the courthouse to whole categories of plaintiffs doesn’t meet the fairness test. But MICRA shoulders all other options to the back burner. It’s time to bring this 37-year-old law into the 21st century, and fix the malpractice system so that it actually works.(Michael Hiltzik / LAT)

UPDATE: Sen. Steinberg spoke about the issue today:

Top Ten Dangerous Doctors Are Poster Children for Patient Safety Reform

Top Ten Dangerous DoctorsTen doctors that the California Medical Board failed to take off the streets before repeated acts of negligence and patient endangerment harmed or killed their patients make the case for reforming California’s patient safety laws, said Consumer Watchdog today.

Consumer Watchdog released a “Top Ten Dangerous Doctors” list of physicians whose negligence injured or even killed their patients.

These ten dangerous doctors are some of the most egregious overprescribers, repeat offenders, and drug and alcohol users in California. Their stories show the urgent need for action by California lawmakers to replace a Medical Board that has allowed bad doctors to continue to practice, and to raise the outdated cap on patients’ ability to hold negligent doctors accountable in court.

Last month, Consumer Watchdog joined the 38IsTooLate.org coalition to announce a patient safety ballot measure that will raise the cap on damages in medical negligence lawsuits and require physicians to check a prescription drug database before prescribing narcotics. The coalition, including Bob Pack who lost his two children to a drug addict who was overprescribed narcotics, will place the measure on the ballot if the legislature fails to enact patient safety reform legislation this year.

The “Top Ten Dangerous Doctors” who make the case for patient safety reform include:

  • Dr. Van Vu and Dr. Carlos Estiandan, identified as over-prescribers in a Los Angeles Times investigation and who together had at least 25 patients die from prescription drug overdoses. Neither has lost their medical license.
  • Dr. Aria Omar Sabit and Dr. Israel Chambi, neurosurgeons who together have had at least 55 medical malpractice lawsuits filed against them. Chambi continues to practice despite 10 malpractice settlements and having lost his post at two medical centers. No action was taken against Sabit after he moved his practice out of state.
  • Dr. Craig Alan Bittner, Dr. Efrain Gonzalez (and his wife Dr. Yessennia Candelaria), all physicians who practiced cosmetic surgery with no formal training. The three had their licenses suspended or revoked by the Medical Board only after arrests had taken place and at least 21 of their patients were severely disfigured.
  • Dr. Brian West and Dr. Daryl Westerback were each arrested twice for driving under the influence of alcohol or prescription drugs. West did not lose his license until nine years after the first complaint against him and being arrested for drunk driving on the way to treat a patient. Westerback, who is accused of treating patients while under the influence, lost his license to prescribe but continues to practice.
  • Dr. Andrew Rutland had his license revoked a decade ago after the deaths of two infants and 15 malpractice claims, but was reinstated five years later. Rutland lost his license again in 2011 after being found responsible for another patient death.
  • Dr. Shane Sheibani, a plastic surgeon who left dozens of patients disfigured, had his license suspended in 2009 but continued to practice and harm patients for three more years before his license was finally revoked.

Reforms being considered in “The Troy and Alana Pack Patient Safety Act” include:

— Raising or repealing the cap on damages in medical malpractice cases.

— Mandatory drug and alcohol testing for doctors.

— Full funding of the CURES database and mandatory use by physicians before prescribing narcotics.

— Medical Board reform including a public member majority, increased transparency of complaints and transferring investigative powers to the Department of Justice.

Top Ten Dangerous Doctors

Top 10 Dangerous Doctors

Dr. Aria Omar Sabit

Neurosurgeon. Twenty lawsuits were filed against Sabit stemming from the 17 months he practiced in Ventura County, alleging misplaced screws in spinal fusions, post-op infections and botched brain surgery. Victims say Sabit made so many mistakes in such a short period of time that Community Memorial Hospital in Ventura and Ventura County Neurosurgical Associates Medical Group should have intervened long before the medical group fired him in December 2010. Attorneys for those patients have dubbed Sabit “The Butcher.” Community Memorial officials said they asked the Medical Board of California to investigate. In February 2012 Medical Board representatives would not comment on the possibility of an investigation involving Sabit, but told a reporter no action had been taken against him since he was licensed to practice in California in 2009. Sabit is now practicing in Michigan.

Dr. Van Vu

Pain management specialist, California Pain Center of Fountain Valley and Huntington Beach. Seventeen of Vu’s patients died of overdoses connected to medicine he prescribed — the most deaths connected to any of the 71 Southern California doctors identified by the Los Angeles Times whose patients had suffered 3 or more prescription drug overdose deaths. The Medical Board began an investigation only after the article exposed Vu. There are currently no restrictions on his practice.

Dr. Shane Sheibani

Plastic surgeon. Sheibani drew dozens of complaints and lawsuits from patients who were left disfigured, with open wounds and in pain. He was placed on probation by the Medical Board in 2009, but continued to practice and more patients were harmed. His license was finally suspended in August 2012. He now calls himself a “psycho-spiritual coach,” yet told an undercover news reporter he could still perform surgery.

Dr. Craig Alan Bittner

Was a Beverly Hills radiologist who performed liposuction. He allowed his assistant, who was also his girlfriend, to perform liposuction although she was not a doctor and had no formal training in the procedure. Patients began complaining as early as 2008, and at least nine women were left disfigured and in pain. Bittner did not surrender his license until 2011. In criminal prosecution, Bittner was allowed to plead guilty to just one misdemeanor count. His five-year sentence was reduced to two. He has reportedly changed his name and is now attending law school.

Dr. Efrain Gonzalez

A gynecologist performing cosmetic surgery, and his wife, Dr. Yessennia Candelaria, a pediatrician. Multiple complaints to the California Medical Board ultimately uncovered at least 15 patients who alleged their failed cosmetic surgeries by Gonzalez left them deformed and, in at least one case, with paralysis. Only after more than 18 months of investigation and an arrest – in which Gonzalez was charged with 31 felony counts – was his license suspended in March 2013. Candelaria’s license was suspended in May 2013, after she was charged with 15 felony counts and a DEA warrant affidavit alleging she had a drug habit. In one case, she allegedly administered anesthesia to a patient “…while simultaneously administering the drug to herself via an additional intravenous line. According to a medical assistant assisting in the procedure, Dr. Candelaria lost consciousness in the operating room.”

Dr. Israel Chambi

An Orange County neurosurgeon. Western Medical Center in Santa Ana, removed Chambi as head of neurosurgery in 2003 after it was reported there were more than 35 malpractice lawsuits against him. The department he chaired generated over $38 million a year for Western Medical Center. Patients and families alleged that they or their loved ones were severely disfigured, suffered devastating brain or nerve damage, or in one case, narrowly evaded invasive brain surgery by Chambi when other doctors said none was necessary. Chambi had previously lost his post as a medical professor at UCI Medical Center after accusations of unnecessary surgery and incompetence were raised by other UCI doctors. Of the 35 malpractice suits, 10 won settlements totaling $3 million. The Medical Board opened three investigations but no action was taken. Dr Chambi today runs his own brain, spine and nerve practice.

Dr. Brian West

Orange County plastic surgeon. Complaints against West began in 2000, ultimately filed by at least six patients who said he left them severely deformed. None of them knew that West had a substance abuse problem, or that he had entered the Medical Board’s secret addiction monitoring program. In 2005, he was placed on five years probation after two convictions of driving under the influence of alcohol, as well as “multiple acts of dishonesty” while a participant in the addiction monitoring program. Documents say he directed an employee to falsify Alcoholics Anonymous sign-in logs to make it appear he had attended meetings. In 2009 he was found guilty of disfiguring a former breast cancer patient after performing a surgery she had not consented to and lying to an investigator about being on his way to the hospital when he got into a drunken driving accident.  West’s case helped spur the closure of the Medical Board’s failed drug and alcohol diversion program, which allowed doctors with substance abuse problems to hide that information from their patients. The Medical Board finally revoked his license in May 2009.

Dr. Carlos Estiandan

Operated three pain clinics in Los Angeles.  According to court records, Estiandan prescribed powerful painkillers to addicts who had no medical need for them, conducted sham examinations and appeared to be a key supplier for drug dealers. He wrote more prescriptions than the entire staffs of some hospitals and took in more than $1 million a year. Despite investigations by the US Drug Enforcement Administration and LA County Sheriff’s department, the Medical Board did not stop him from prescribing until four years after opening its own investigation. Eight of his patients died of overdoses in the period while the investigations dragged on.

Dr. Daryl Westerback

A Thousand Oaks psychiatrist. Dr. Westerback was arrested twice this year for driving under the influence of prescription drugs, and sheriffs now accuse him of overprescribing to patients. He is connected with at least one overdose-related death, and is suspected of treating patients while under the influence of opiates. No action had been taken against Dr. Westerback before the criminal investigation began; his license to prescribe has now been suspended, however his medical license remains current.

Dr. Andrew Rutland

An obstetrician-gynecologist in Anaheim. Dr. Rutland had his license revoked for negligence in 2002 after the death of an infant in childbirth, the death of a second infant, and numerous other allegations that led to 15 civil lawsuits. The Medical Board reinstated Rutland’s license in 2007. Rutland was forced to surrender his license again in 2011 after an investigation finding him responsible for the death of another patient, this time a 30-year-old who he gave the wrong dose of anesthesia.

Sources: Los Angeles Times, Ventura County Star, OC Weekly, Sacramento Business Journal, Orange County Register, Fox 11 – KTTV, KABC – 7, CBS 2/ KCAL 9, News 10 ABC, CBS Sacramento and Medical Board of California


Posted by Carmen Balber, Executive Director of Consumer Watchdog. Follow Consumer Watchdog online on Facebook and Twitter.

Give my 6-week-old daughter’s death meaning

38 Is Too Late BillboardMy baby Mia died in a hospital at just 6 weeks of age from whooping cough in the middle of a whooping cough epidemic because doctors didn’t give her a simple test.

A 38-year-old law says her life is only worth $250,000 – that is the value of a child in California when they’re harmed by the health care industry. It’s wrong, and it’s the reason medical negligence is so common today – there’s little price to pay when something goes wrong.

We should not have to put up a billboard in Sacramento to get the Legislature’s attention to change the law, but we did. It’s on Highway I-80 so state legislators will consider updating the antiquated law that for the past 38 years has put a discriminatory limit on the value of a precious life like Mia’s.

Will you help me keep this billboard up with a donation today?

You can read more about Mia and watch a video at 38istoolate.org, where you can join our movement to update patient safety laws in California and better protect patients.

Please take a minute to donate and learn more.

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Posted by Alejandra Gonzalez-Chavez, Special to Consumer Watchdog.  Follow Consumer Watchdog online on Facebook and Twitter.

My Son’s Life Is Worth More

Press ConferenceSince 1975 the value of everything has gone up, except the value of my son’s life under California law.

Last week my son, Steven and I went to Sacramento to say “38 years is too late.” We announced a ballot initiative to create stronger patient safety laws and adjust this nearly 38 year-old law.  You can join our efforts by reading our story and others of patients like us at the new site “38 is too late” and liking our Facebook page.

In California, no matter how badly a child is hurt, or even if they are killed by gross medical negligence, the value of their life is only $250,000, an amount set by the Legislature nearly 38 years ago. That’s just not right.

When my son Steven was a toddler, he fell on a stick while hiking near his grandmother’s cabin in the mountains. The hospital pumped Steven up with steroids and sent him away with a growing brain abscess, although we had asked for a CAT scan because we knew Steven was not well. The next day, he came back to the hospital comatose. Medical experts later concluded that had he received the $800 CAT scan, he almost certainly would have been successfully treated.

Today, at 23 years old, Steven is blind and has cerebral palsy. Even though a jury heard our case and said Steven should receive $7.1 million for the horrible losses he will suffer for the rest of his life, the judge reduced the amount to $250,000 under California’s one size fits all cap.

Kathy and Steven OlsenThe jurors only found out that their verdict had been reduced by reading about it in the newspaper. They expressed their outrage, but the Legislature has not heard them, or patients like me. The cap has not been adjusted for almost 38 years, since Governor Brown signed the law in his first administration.

The ballot measure Consumer Watchdog and The Troy and Alana Pack Foundation announced in the Capitol last week would lift the cap so juries can make their own decisions on a case by case basis.  The measure also reforms the state’s Medical Board and creates greater disclosure about prescription drug overdoses and the role of dangerous doctors.

The “38 Is Too Late” group will go to the ballot this fall if the Legislature doesn’t act. I hope you will join me in sending a message to lawmakers that they should act and then join our community online on our website and on Facebook.

You can read more about this historic moment from an article in last week’s Los Angeles Times.

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Posted by Kathy Olsen, Board Member of Consumer Watchdog. Follow Consumer Watchdog online on Facebook and Twitter.

Statehouse Responds: Threatens to Put Medical Board Out of Business

Enough is Enough

Last month, at an emotional in hearing in Sacramento and in a San Francisco Chronicle op-ed, we called for the state agency that oversees doctors to become a stronger regulator or to go out of business.  The Legislature has to renew the doctor-run medical board every ten years, and that’s this year. Sacramento apparently agrees with us.

After an emotional outpouring from families who lost their love ones to dangerous doctors, and thousands of emails from Californians, the chairmen of the Senate and Assembly Business and Professions Committees sent a message.  The Los Angeles Times is reporting that chairs Curren Price and Richard Gordon have written the medical board to state that they will not reauthorize the board unless it commits to major changes.

This is a big and important step toward strong patient protections in this state. The California Medical Association has for too long stymied real change for patients in the Capitol, and now Gordon and Price have upped the ante by acknowledging the depth of the problem for patients.

Three important areas need to be reformed, as Carmen Balber and I outlined in the San Francisco Chronicle op-ed:

A true overhaul of physician discipline would move complaint investigators into the attorney general’s office to work hand in hand with prosecutors and would create a public-member majority on the medical board.

Real reform should also include mandatory random drug testing of high-risk surgeons and physicians – as is mandated now for bus drivers, college athletes and pilots.

Finally, the state’s 38-year-old limits on the rights of injured patients need to be revisited, too. It’s time for the public to take the power back for itself.

The movement is afoot, and we have taken another step toward greater patient safety. Stay tuned. Momentum is building but we still have a long march ahead.

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Posted by Jamie Court, author of The Progressive’s Guide to Raising Hell and President of Consumer Watchdog, a nonpartisan, nonprofit organization dedicated to providing an effective voice for taxpayers and consumers in an era when special interests dominate public discourse, government and politics. Visit us on Facebook and Twitter.

Patients Can Change Patient Safety

Jamie Court

There aren’t too many great days for patient safety in state capitols, where the medical establishment tends to rule the roost through the power of its political giving and tentacles. But Monday was a great day for patient safety in Sacramento, when powerful testimony reminded legislators of the human cost of inaction.

The families of victims of overprescribing spent an hour and half in the Senate and Assembly Business and Professions Committees and presented some of the most compelling testimony ever heard there. Their stories and faces were felt around the Capitol Tuesday from huge photographs on the front pages of the Sacramento Bee and Los Angeles Times to TV news stories echoing legislative sympathy for reform.

Smick FamilyThe medical establishment  is now on the defensive.  A Medical Board overhaul is in the air. Debate is turning to the government not protecting patients enough.

Will the clarity these courageous families brought to the failure of California’s laws to protect patient safety grow or wither in the coming days?  It’s up to us, but I think it will grow.

Carmen Balber and I asked in an oped in Monday morning’s San Francisco Chronicle whether it wasn’t time to pull the plug on the current physician-run medical board. We wrote:

For decades, the medical board has failed to identify dangerous practice patterns, such as over-prescribing, which should trigger investigation. In fact, the board only acts on complaints by consumers, and then rarely. Once an investigation is begun, it takes years to resolve, too long for patients who may be at imminent risk of harm.

When prosecuted, an enforcement case can stagnate in five layers of review. Sadly, little other deterrence exists to medical negligence.

Those listening to the tragic stories in Sacramento this week could not help but understand the human consequences of such inaction.  Sons, daughters, brothers, uncles lost. Preventable deaths.

All because the California Medical Association and the state medical board it controls won’t agree to a $9 increase in physician license fees — the cost of two cappuccinos — for workers to find overprescribing doctors in a state database. And due to the grip of this medical establishment over our regulators and the legal system — where families who lose nonwage earners to dirty doctors cannot get legal representation due to a 38 year-old cap on their recovery.

We called for these changes in Monday’s Chronicle.

A true overhaul of physician discipline would move complaint investigators into the attorney general’s office to work hand in hand with prosecutors and would create a public-member majority on the medical board.

Real reform should also include mandatory random drug testing of high-risk surgeons and physicians – as is mandated now for bus drivers, college athletes and pilots. Finally, the state’s 38-year-old limits on the rights of injured patients need to be revisited, too. It’s time for the public to take the power back for itself.

It’s Wednesday morning. Eyes are wide open. And we are a lot closer to patients taking power back than we were before.

Enough is Enough Family Rally

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Posted by Jamie Court, author of The Progressive’s Guide to Raising Hell and President of Consumer Watchdog, a nonpartisan, nonprofit organization dedicated to providing an effective voice for taxpayers and consumers in an era when special interests dominate public discourse, government and politics. Visit us on Facebook and Twitter.

MICRA: Unaccountability by Another Name

I’ve written a bit about MICRA in the past, but here it is in short form. It puts a cap of $250,000 on non-economic damages for victims of medical malpractice. While that may sound like a lot, in fact it has killed medical malpractice in the state.  Cases with the slightest bit of complication, or those that go to trial can cost over $100,000 to bring, and the limited recoveries mean that attorneys can’t afford to bring the cases. It just doesn’t make economic sense.  So for cases where the victim does not have a high expectation of future income (i.e. full-time parents, children and the elderly), they just never get the opportunity to hold the perpetrators accountable.

The $250,000 cap has been steady since the 1970s, but the supporters say it cannot be raised for fear that we will kill the medical industry with insurance premiums.  Except for the fact that the promised decreases in premiums never really came until Prop 103 regulated the insurance industry.  The problem with malpractice insurance isn’t malpractice law, it’s the insurance industry.

Lucinda Finley, Raichle Professor of Law at the State University of New York at Buffalo Law,  said that study after study shows that caps on medical malpractice awards, while hurting the severely injured, do not lower malpractice premiums. “Caps do not lead to reductions in insurance premiums for doctors; there is no evidence to support any claim that they do or will lead to reduced premiums,” Ms. Finley said, citing a major report issued by the federal General Accounting Office in late August 2003. “Spikes in insurance premiums are caused much more by market and investment cycles in the insurance industry and insurance-industry underwriting and reserve policies than by any trends in the tort system, as numerous studies have concluded.” (Anayat Durrani)

The cap doesn’t change insurance rates, but does take away the accountability that the tort system provides.  The limit is hurting victims of malpractice and their families.  That case was made clear in an op-ed on Capitol Weekly last week:

My interest in MICRA, California’s law that limits pain and suffering compensation to $250,000 in medical malpractice cases, is twofold: I am both a physician and the son of a victim of profound medical malpractice. I have firsthand experience with the implications and practical effect of MICRA.

From our family’s perspective, the MICRA cap on pain and suffering is a massive impediment to obtaining justice when families like ours see a loved one become the victim of medical negligence.

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This is a discussion about accountability and justice, which the public deserves. This is all about the patients, period.

The comments of Dustin Corcoran, CEO of the California Medical Association, are even more troubling. “The trial attorneys want to legislate their way to a big pay day.  (He doesn’t) think it’s much more than that to them.” Our family interprets Mr. Corcoran’s comments as a gross misrepresentation of the issue. The MICRA dispute is about learning the truth and obtaining justice when the health care establishment makes egregious errors and refuses to be accountable.

We would remind Ms. McCarthy and Mr. Corcoran about the central tenet of public health: Social Justice. (CapitolWeekly)

I highly recommend you read the full op-ed on MICRA.   The author’s case is a study in how medical professionals can cover up the truth to cover their own hides.  Look, the point of the tort system, whether the AMA will acknowledge it or not, isn’t to extract large sums of money, rather it is a consumer protection of last resort. It serves as a policing mechanism for those doctors who have failed their patients.  All too often, self-regulation has failed in this country. And without the tort system, victims really have no recourse.

So, as it appears the discussion of MICRA reform has begun, let’s hope we don’t get caught up in the tired old trope of doctors vs lawyers, and try to remember the real goals of our legal system.