Statement from the Pennsylvania Medical Society in Response to the House Amendment to SB 1137
The following is a statement from Peter S. Lund, MD, president of the Pennsylvania Medical Society, regarding the Pennsylvania House of Representatives passing amendments to Senate Bill 1137 yesterday. Dr. Lund is a practicing urologist from Erie, Pa.
The Pennsylvania Medical Society is happy to see that in our state, the Pennsylvania House of Representatives has acknowledged the need to address some of the highest physician liability costs in the nation by considering and approving provisions contained in the Eachus amendment to Senate Bill 1137, continuing Mcare abatement, and taking steps to phase out the Mcare Fund.
But, at the same time, the House made an attempt to address the issue of the uninsured in Pennsylvania, a critical issue that the Medical Society wants to see resolved. In that attempt, the House passed several provisions that could have the unintended consequence of actually threatening access to care for Pennsylvania’s most needy citizens.
The Eachus amendment also raises other concerns for physicians because it doesn’t address future funding for physicians’ abatements, maintain an adequate balance in the Mcare Fund to pay medical liability claims, or contain any provisions to stabilize future premium increases.
Several years ago, our state legislature and governor’s office stepped in to help ensure access to care when skyrocketing liability insurance rates were forcing doctors to make tough decisions. Some were retiring early, while others were giving up high-risk procedures. Some, we know, have left active practice of medicine in the state. Department of Health data show that from 2004 to 2006 we lost 1,632 active practice physicians in Pennsylvania.
To help maintain access and keep doctors in practice in Pennsylvania, the state provided relief from high liability insurance rates. In exchange, through a “quid pro quo,” doctors agreed to stay in the state for at least one year after accepting the relief. Or, if they opted to leave, they would pay it back. That quid pro quo included annual abatement of portions of most physicians’ Mcare assessments.
That agreement seemed to cool off a boiling pot. While it didn’t solve all the problems, physicians kept practicing and patients continued to get the care they needed.
The House has approved an amendment that seems to offer hope that this relief will continue. But the problem is, now in addition to the original “quid pro quo,” it would tack on several rather troubling mandates for physicians – and link this physician relief to coverage for the uninsured.
On the surface, it’s hard to argue with these mandates, such as requiring physicians to participate in certain state-run insurance programs to help the uninsured. I’m sure many doctors will participate regardless.
But it’s getting harder and harder to keep physicians in Pennsylvania and to recruit young physicians to come here. Pennsylvania physicians face declining Medicare payments, some of the lowest Medicaid payments in the nation, and below average payments from private insurance.
On top of that, the Eachus amendment as currently written would require physicians to participate in state-run insurance programs without making sure that they’ll be paid enough to cover the cost of their services.
It’s ironic that an abatement program designed to help avoid putting doctors out of business due to high overhead costs could actually put them out of business! If that happens, we’ll have an access problem again, even for those with insurance.
The Pennsylvania Medical Society looks forward to participating in this critical debate.
The continuing high costs of liability insurance for Pennsylvania must be addressed to assure access to care. And affordable insurance coverage for our citizens is of equal importance. But sacrificing one to the detriment of the other does not do justice to the health care we all depend on.
We ask that our legislative leaders and the Rendell administration keep up the momentum and work together to address physicians’ concerns. Let’s create a plan that will ensure access to care for our patients, for the long run.
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Last Updated: 3/13/2008