Writing for the Huffington Post, Joanne Doroshow of the Center for Justice and Democracy highlighted a March analysis from the Congressional Budget Office determining that savings from malpractice reforms would be minimal. Doroshow argued that reforms imposed by HR 5, which includes a $250,000 noneconomic damage cap will actually increase the US deficit. According to Doroshow, malpractice victims who cannot secure compensation through litigation will turn to avenues like Medicare and Medicaid. The CBO’s prediction that reform will reduce health spending by 0.4 percent doesn’t account for this. Nor does the CBO consider “that these kinds of extreme ‘tort reforms’ would weaken the deterrent potential of the tort system, with accompanying increases in cost and physician utilization inherent in caring for newly maimed patients.”
From the American Association for Justice news release.