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Medical Malpractice Insurers are Earning More than Ever

As Congress debates nationwide health care reform, a new analysis reveals medical malpractice insurers have long-played a cruel hoax on legislatures and the public. Insurance companies have created a phony “financial crisis,” so lawmakers would limit the rights of those harmed by medical error. Medical malpractice insurers currently have average profits higher than 99 percent of Fortune 500 companies. The key findings of the report, which analyzes the financial statements of the 10 largest U.S. medical malpractice insures include, the average profit for insurance companies is higher than 99 percent of all Fortune 500 companies and they have seen their profit margins range from 5.9 percent to 74.9 percent. The average profit for a medical insurance company is 31.2 percent. Medical malpractice insurers have underestimated profits and overestimated losses. They have reported losses that have been approximately 13.5 percent lower than initially reported. This means medical negligence laws were passed under false pretences. Overblown reported losses were used to justify new measures restricting the rights of those injured by medical negligence. It is clear that limiting the legal rights of patients won’t lower health care costs or cover the uninsured. To read more about the false reports, please click the link.