Making the case for caps in tort reform

An AMA review of independent research provides a detailed look at the effects of liability award caps.

Editorial. March 17, 2008.

A recently released, updated literature review by the AMA examines the effect of a fundamental tort reform -- caps on awards, typically for noneconomic damages -- on the practice of medicine.

A common-sense prediction would be that easing the burden of an unfair, expensive and demoralizing tort system would lead to more doctors, less defensive medicine and lower costs. The AMA report adds to the body of scholarly research confirming those results.

Included in this new batch of credible and compelling figures are fresh approaches to measuring the effects of caps. All told, this updated version of the review -- "The Impact of Liability Pressure and Caps on Damages on the Healthcare Market: An Update of Recent Literature" -- adds nine studies released in the past two years to a roughly equal number of papers examined earlier.

All of the studies were done independent of the AMA. Much of the research was peer reviewed and published in leading journals. It is important to note that the report only looks at research that controlled for the effects of variables outside of tort reform.

The 10-page study presents conclusions on critical and intertwined areas that can significantly influence cost and accessibility of care. Among highlights: