In 2004, Mississippi Governor, Haley Barbour, signed a wide-ranging tort reform bill.  It included a $500,000 limit on pain-and-suffering awards in medical malpractice cases and $1 million in other cases, punitive damage caps, venue reform, joint and several liability limitation, relief of premises owners from liability to contractors’ employees for hazards known to the contractor and product liability relief for “innocent sellers”.  Prior to the 2004 reforms, Mississippi’s legal system was tilted against civil defendants.  The 2004 law changed all that.

So, what were the results?  Simply put, the number of medical malpractice claims plummet by 91% from the peak.  The state’s largest medical liability insurer dropped its premiums by 42% and has offered an additional 20% rebate each year since tort reform went into effect.

Given four years of impressive results, why haven’t the health care reform bills in Congress included this type of measure?  Some would say–probably rightly–it’s about payback to lobbyists and hefty campaign contributors.

Furthermore, tort reform shouldn’t apply solely to the medical field.  It should apply to everything as was done in Mississippi and the entire nation would benefit immensely.  Read the Wall Street Journal article, Mississippi’s Tort Reform Triumph, for more on the positive effects on Missisippi’s business.

Contributed by Michael Zimmerman
Direct:  808-457-9683
Michael@Michael-Zimmerman.com
www.michael-zimmerman.com
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