Physicians in New York are urging Governor Kathy Hochul to veto a bill that would expand the awards available in wrongful death lawsuits. The Medical Society of the State of New York (MSSNY) has expressed concern that the proposed legislation would significantly increase liability insurance costs for doctors and hospitals, which already pay some of the highest rates in the United States.
In a statement, MSSNY said, “The physicians of New York State are urging Governor Hochul to again veto legislation that would greatly expand the awards in actions for wrongful death. Governor Hochul has previously stood by the concerns she has noted regarding the significant unintended consequences of this far-reaching, expansive legislation—particularly for our already struggling health care system—without balanced provisions to bring down New York’s exorbitant liability insurance costs for physicians.”
The organization highlighted that the current version of the bill does not address their concerns about increased insurance expenses. According to MSSNY, “The latest version of this bill does not in any way change the substantive impact of this bill and its massive increase in insurance costs for our hospitals and physicians—who already face by far and away the highest liability costs in the country. NYS in 2023 spent more in medical liability payments than California and Florida combined despite having one-third the population. Unsurprisingly, multiple actuarial studies have predicted a 40% increase in medical liability insurance costs, which are already among the highest in the country. The adverse impact of this legislation on patient access to our health care system will be even greater given the draconian cuts New York is facing as a result of HR 1 enacted by Congress earlier this year.”
MSSNY referenced previous statements from Governor Hochul’s office: “We agree with the Governor’s previous veto messages that: ‘every human life is valuable and should be recognized as such in our laws and in our judicial system.’ We also applaud the Governor for noting in her previous veto messages that: ‘legitimate concerns have been raised that the bill would likely lead to increased insurance premiums for the vast majority of consumers, as well as risk the financial well-being of our health care facilities – most notably, for public hospitals that serve disadvantaged communities.’”
The society stated its willingness to work with state officials on alternative legislation. “MSSNY stands ready to work with the Governor and the Legislature on revised legislation that would ensure legal remedies for grieving families, but at the same time protect the ability of New York’s physicians, hospitals, and other health care workers to continue to deliver the care our patients expect and deserve. We cannot do that if we substantially increase our already enormous liability insurance costs, which already exponentially exceed every other state in the country. These costs would disproportionately impact physicians working in underserved communities.”
MSSNY also pointed out concerns about physician retention amid high operating costs: “New York has a reputation for a world class healthcare system, but also a reputation for being one of the worst states in the country in which to be a physician. We must take steps to ensure that we can retain and attract skilled physicians to our state to best serve the healthcare needs of our patients. At a time when we are already facing severe cuts from Washington DC, we must not make this problem even worse.”
They concluded their statement by calling on Governor Hochul: “Again, we encourage Governor Hochul to once again put patients first and protect the healthcare needs of every New Yorker by vetoing this legislation.”
Founded in 1807, MSSNY represents physicians across all specialties throughout New York State.
