Hospital System Rethinks Payout System After Losing Malpractice Suit

May 30, 2012

Due to changing standards in personal injury settlements, one nationwide health system has to revamp the way it manages and pays out claims made by victims of medical malpractice. According to The News-Press, Lee Memorial Health System must also decide whether to insure itself or pay up to $1.8 million to one of two outside insurance companies for coverage.

Over the past decade, the company has relied on caps set by the government, which protects the company under “sovereign immunity” laws, to manage claims of malpractice; however, a ruling five years ago has prompted the company to become insured.

The ruling came in 2007 after a family claimed that HealthPark Medical Center was responsible for the delivery of their son that left him afflicted with Cerebral Palsy in 1997. Due to the legislative caps in place, the family received only $200,000 in compensation. Determination and a strong lobbying campaign paid off for the family a decade later, when a Lee County jury awarded the boy’s family $31 million in damages.

Since then, the group has become insured and has also established a board to oversee medical malpractice claims of up to $4 million.

The Denver Personal Injury Lawyers with the McDivitt Law Firm understand there are numerous mistakes that can be made in a hospital, from drug injuries to botched procedures. That’s why they suggest talking with an experienced attorney if you’ve been injured by a medical professional.

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