Iowa governor might not sign tort reform bill

Meanwhile, Missouri hones in on rolling back its cap on noneconomic damages.

By Tanya Albert, AMNews staff. May 3, 2004.

Iowa physicians cleared two of the three hurdles needed to enact a $250,000 cap on noneconomic damages awarded in medical malpractice lawsuits. But it looks as if the third obstacle -- the governor's signature -- will be a stumbling block.

After failing to pass tort reform by one vote in early April, the Iowa Senate April 12 voted 27-21 to pass a bill that would cap the amount injured patients could receive for pain and suffering. The House already had passed the measure.

At press time, it was a long shot that Iowa Gov. Tom Vilsack would sign the bill into law.

"The governor is a past president of the trial lawyers association," said Iowa Medical Society President Tom Evans, MD. "We knew that going in, but we are hopeful it will be signed." Dr. Evans said Iowa doctors need the relief.

The AMA lists Iowa as one of the 25 states showing problem signs that other states have had before heading into a full-blown medical liability insurance crisis.

Iowa doctors say the situation worsened in late 2003 when doctors statewide started seeing large increases in insurance premiums.

"This year we thought Medicare was going to be the big issue," Dr. Evans said. "But once [Medicare legislation] passed, my home phone started ringing off the hook when physicians started receiving their insurance bills."

Increases ranged from 50% to 200%. And it wasn't just the obstetricians, neurosurgeons and other high-risk specialists who saw large jumps.

"We heard from the whole spectrum," Dr. Evans said. "There isn't any place to pass along the costs. ... We all had problems, but when this hit the fan, it was the final thing that pushed many over the edge."