Tort Reform Does Not Lower Health Care Costs
December 10, 2009
This is amazing! More and more we scrutiize the idea of Tort Reform as the answer to all ills, more and more we find out that the Notion is simply based on lies at worst and miss-information at best! Why don’t we hear about this on CNN? Read on…
“A few weeks ago the Congressional Budget Office released an analysis that said tort reform would save the federal government $54 billion over ten years. That sounds like a great argument for tort reform. But if you read the analysis more carefully, you see the picture is not so simple. For example, on page 4 of the analysis you can find this little bombshell:
“CBO’s estimate takes into account the fact that because many states have already implemented some of the changes in the package, a significant fraction of the potential cost savings has already been realized.“
The fact is, more than half of the states already have “reformed” tort. The CBO is saying that federal tort reform would not give us an additional $54 billion in savings. Rather, we’re already enjoying a significant fraction of the $54 billion in savings because tort is already “reformed” in most states.
Wait, you didn’t notice that health care costs are dropping because of state tort reforms? That’s because they aren’t.”