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By Seth Higgins
Since the end of the Covid-19 pandemic, Pennsylvania has been rocked by hospital closures, reductions in healthcare services, and a steady stream of news about hospital systems’ shaky financial positions. The causes of this are many, but a decline in pandemic related federal funding for hospitals — coupled with inflationary pressures and labor shortages — are commonly cited factors.
The seemingly endless waves of bad news cause our political debates around healthcare to take one of two forms. Either both sides of our political divide blame one another for the state of healthcare while offering few actionable solutions, or people simply resign themselves to the view that healthcare policy is a hopeless morass.
However, there are two policy options at Pennsylvania’s disposal that can improve healthcare affordability and accessibility: tort reform and the elimination of lawsuit venue shopping. These policies should enjoy bipartisan appeal, but as we’ll see, it isn’t so simple.
Why It Matters. When someone sues a doctor for medical malpractice, he can seek economic damages, such as lost wages, medical expenses, and lost earning potential; and non-economic damages, which can include difficult to quantify losses such as pain and suffering. Pennsylvania is one of about fifteen states without a limit on non-economic damages.
This means one lawsuit can result in a claim massive enough to economically cripple a doctor or entire hospital system.
The next ingredient in this deadly arrangement is the ability for trial lawyers to venue shop. This change occurred in 2022 when the Pennsylvania Supreme Court issued a ruling that overturned two decades of precedent. It all adds up to some of the fastest-rising medical malpractice premiums in the country.
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