Posted on 14 Jan 2010
This week, PCI launched a multimedia campaign urging Congress to preserve the McCarran-Ferguson Act and protect the medical malpractice insurance marketplace. Congressional leaders are working on final negotiations on the federal health care legislation that includes a proposal to repeal the insurance limited antitrust delegation to the states.
PCI believes the McCarran-Ferguson delegation increases competition and consumer protection and it should be maintained in full measure. Proposals to undermine state authority under McCarran-Ferguson could have dangerous negative repercussions. Changing the state-based system could also open the door for costly litigation and increased trial-lawyer suits. This could lead to reduced insurer competition and consumer choice.
High risk health care providers across the nation rely on Joint Underwriting Associations (JUAs) for their medical liability insurance. Without the benefits of McCarran-Ferguson, these critical back-stop markets will be disrupted in states like Florida, Kansas, Massachusetts, Minnesota, Missouri, New Hampshire, New York, Pennsylvania, Rhode Island, South Carolina, Texas, Washington, and Wisconsin -- leaving providers with fewer choices and limiting access to medical care for consumers.