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THIS ISSUE AVAILABLE ONLINE WITH EXPANDED INFORMATION AND PHOTOS AT:
www.hhs.gov/news/newsletter/weekly

IN THIS ISSUE:
1) Report Calls for Changes to Medical Malpractice Laws
2) Secretary Thompson addresses the National Conference of State Legislators
3) Secretary, Members of Congress Hail Nurse Reinvestment Act
4) Bilingual information booklet to aid parents, families
5) Surgeon General Carmona confirmed

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Secretary Thompson's schedule July 28- August 3 2002

• July 29 -- Welfare event in Charleston, SC
• August 1 -- Speech to the Robert Wood Johnson Foundation
• August 3 -- Travel to Alaska

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Report Calls for Changes to Medical Malpractice Laws

Secretary Thompson released a policy report calling for changes to medical malpractice laws to improve Americans' access to care, encourage efforts to improve quality of care, and squeeze the excesses and abuses out of the malpractice litigation system.

"This is a problem for America's doctors -- and a danger to all Americans. Americans are paying the price of excessive lawsuits through higher health insurance premiums, difficulty in getting a doctor when they need one, higher taxes and missed opportunities to improve patient safety. We must put an end to the malpractice litigation lottery that favors a handful of powerful personal injury lawyers and instead create a common-sense system that ensures injured patients receive fair and prompt compensation without threatening access to quality care for all other Americans," Secretary Thompson said.

Americans are increasingly finding that their doctors are closing their practices, limiting the types of patients they will see, or leaving communities where they have long practiced because they cannot afford the rapidly increasing cost of malpractice insurance or because it is simply not available.

The report, "Confronting the New Health Care Crisis: Improving Health Care Quality and Lowering Costs By Fixing Our Medical Liability System," highlights the problems created by the rising costs of malpractice insurance for doctors and hospitals -- particularly in states that have not reformed their legal systems. The system is raising the cost of health care that all Americans pay through out-of-pocket payments, insurance premiums and taxes.

It also cites specific problems that result from the current system. For instance, some women are losing their obstetricians in mid-pregnancy in states because their states have not reformed their litigation systems. Also, earlier this month, the major trauma center in Las Vegas had to close temporarily after its surgeons quit when their malpractice premiums increased sharply.

The cost of malpractice insurance for specialists is estimated to have risen more than 10 percent in recent years and could increase by an average of 20 percent or more this year. States without any limits on non-economic malpractice damages are experiencing the sharpest increase -- 30-50 percent.

The report also details other threats to quality health care caused by rising malpractice costs:

• Patients undergo unnecessary tests and treatments as doctors and hospitals practice "defensive medicine" to ward off potential malpractice lawsuits. This exposes patients to additional risk and drives up the cost of health care.
• Fears of malpractice litigation may stop doctors and hospitals from reporting adverse events and potential errors to quality improvement groups -- reducing the chances that potential threats to patient safety are identified and corrected before anyone is hurt.
• Doctors are avoiding high-risk specialties, such as obstetrics and surgery, due to the excessive costs of malpractice insurance. Hospitals also may drop high-risk services, such as trauma care and emergency rooms, to reduce their insurance costs.
• Fearing malpractice litigation, retired physicians and others health-care professionals are choosing not to volunteer their services at community clinics and other locations that people without health insurance rely on for needed care.

Secretary Thompson called for key national reforms that would both strengthen patient safety and quality improvement efforts by making it possible for doctors to collaborate to identify problems and fix them, and establish reasonable limits on non-economic damages in malpractice cases.

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Secretary Thompson addresses the National Conference of State Legislators

In a speech on July 26 to the National Council of State Legislators conference in Denver, Sec. Thompson outlined Administration proposals on Medicare, Medicaid and welfare.

"As state legislators, you're close to the people. You live in the communities you represent. Local and regional problems affect you personally. So, you deal with issues with an immediacy and concern rooted in the lives of people you know and care about - your friends, your neighbors and your families," Secretary Thompson said.

Secretary Thompson underscored the innovations he is working to make at DHHS, including "the whole way we deliver health care in our country … in the regulatory process … in the way the FDA approves drugs and checks our food safety … and in many other areas."

He emphasized the need for comprehensive modernization of the Medicare system, including the addition of a prescription drug benefit, and highlighted the nearly 2,000 Medicaid waivers and state plan amendments approved since January 2001. These approvals have provided coverage for roughly 1.8 million people and expanded care to 4.5 million.

Secretary Thompson said that taking the next bold step in welfare reform is imperative. "We've made so much progress in reforming welfare that it would be irresponsible to cling to the status quo when the potential to help families climb out of poverty once and for all is within our grasp."

He also thanked the legislators for "the way you have stood so strongly with the President in your commitment to fighting international terrorism … I applaud all your good work at the state level in preparing for bioterrorism attacks."

Secretary, Members of Congress Hail Nurse Reinvestment Act

Secretary Thompson joined several members of Congress, including Reps. Billy Tauzin (R.--La.) and Lois Capps (D.--Calif.) and Sens. Barbara Mikulski (D. --Md.) and Tim Hutchinson (R.--Ark.) to support Congress's passage of the Nurse Reinvestment Act.

"Congress's passage of this Act means more nurses for communities across America - something all Americans, and the health profession itself, will benefit from," Secretary Thompson said.

The legislation expands HHS's Nurse Education Loan Repayment Program to include scholarships, which is an excellent way to recruit more people to become nurses. The nurses would pay back their scholarship through a service obligation to underserved areas, similar to the existing loan repayment program.

The legislation also establishes grants to develop more nursing internship programs for students, and a loan cancellation program to attract more people into nurse faculty positions.

Early in his tenure, Secretary Thompson identified the nursing shortage as a critical national priority. The Bush Administration has a number of initiatives underway to address the problem, including the "Kids Into Health Careers" campaign to interest more young people in careers in the health professions, including nursing.

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Bilingual information booklet to aid parents, families

Secretary Thompson announced last week that a bilingual information booklet is now available to help Spanish-speaking parents learn about health insurance benefits through the State Children's Health Insurance Program (SCHIP) and Medicaid.

"This new booklet will help to expand health insurance coverage to eligible children in the Hispanic community by providing information to families about the benefits available to their kids. States have made the SCHIP program a dramatic success, and a key element of that is making sure families sign up their eligible children. The booklet expands our Spanish-language outreach efforts to help those children," Secretary Thompson said.

HHS will work with states that want to add information about their programs to the booklet. HHS will provide booklets to states, community health centers and other organizations.

The 13-page booklet, written in Spanish and English on alternating pages, is called "Protect Your Family's Health … With Confidence." ("Proteja la Salud de Su Familia … con Confianza."), and has four sections:

• Protect Your Family's Health…With Confidence explains the importance of health insurance to a child's overall health.
• How to Enroll Your Kids in Low-Cost or Free Health Insurance tells readers how to contact their state's SCHIP program (1-877-543-7669) and the benefits of enrolling their children in it. This section also explains that parents' immigration status will not be affected by enrolling their children in SCHIP.
  
• Common Questions You May Have answers questions dealing with the age of eligible children, which members of the family may enroll children in SCHIP, and information family members need to share with SCHIP staff to determine eligibility.
• Your Guide to Frequently Used Words for Receiving Benefits explains terms such as SCHIP, Medicaid, public charge and more.

SCHIP is a state and federal partnership designed to provide children with health insurance, many of whom come from working families with incomes too high to qualify for Medicaid, but too low to afford private health insurance. According to state figures, about 4.6 million children received health coverage through SCHIP at some point in fiscal year 2001. SCHIP plans operate in all 50 states, five territories and the District of Columbia.

Earlier this month, the CDC release data showing that the number of children covered by health insurance has increased since the SCHIP program began. In 2001, 10.8 percent of American children did not have health coverage, down from 13.9 percent in 1997. During that period, the number of children without health insurance fell from 9.9 million to 7.8 million. This 21 percent reduction occurred as HHS worked with states to establish programs in every state to expand health coverage to uninsured children.

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Surgeon General Carmona confirmed

HHS Secretary Tommy G. Thompson applauded the Senate's confirmation of Dr. Richard Carmona as Surgeon General on Tuesday, July 23. Dr. Carmona received unanimous confirmation from the Senate.

The Secretary lauded Dr. Carmona's many accomplishments, noting his unique qualifications for the job. "Dr. Carmona has lead the way in the promoting and spreading medical service in our great nation. I am sure he will not only continue this tradition, but excel with the opportunities provided by his new position," Secretary Thompson said.

Dr. Carmona got his start in medicine while serving as a Special Forces medic in Vietnam. After earning a bronze star, two purple hearts, and a combat medical badge, he went on to graduate in the top of his medical class at the University of California - San Francisco. Dr. Carmona continued on as a professor at the University of Arizona Medical School, helping to develop anti-terrorism preparedness and consequences management plans for the University and community. Dr. Carmona helped develop the first trauma care system in Southern Arizona, as well as Arizona's first Disaster Medical Assistance Team (DMAT). Among other accomplishments, Dr. Carmona is also a police officer with the Pima County Sheriff's SWAT team, chair of State of Arizona Southern Regional Emergency Medical System, and CEO of Prima Health Care System.

In taking over the role of Surgeon General, Dr. Carmona will inherit a legacy of excellence and dedication upheld by the 16 men and women who have served in the position over the years. The Surgeon General is appointed by the President and confirmed by the Senate, serving a four-year term. As the head of the U.S. Public Health Service (USPHS), the Surgeon General provides leadership and direction for USPHS involvement in HHS emergency preparedness and response measures. A Vice Admiral in the USPHS Commissioned Corps, the Surgeon General reports to the Assistant Secretary for Health, and advises President Bush, Secretary Thompson, Congress, and the American people on health dangers, disease prevention, and health promotion. The Surgeon General works to protect and advance the health of the nation, promoting the education of the public, pushing for ever more effective disease prevention and health activities, while expressing the full range of important public health, medical, and public health systems issues.

"The Surgeon General is one of this country's leaders on matters of public health, and Dr. Carmona will be a strong and vigorous leader in our efforts to combat chronic conditions and lead this nation to better health. We're glad to have him on board," Secretary Thompson said.

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Last updated 26 July 2002
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