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The Impact of Tort Reform on Private Health Insurance Coverage, February 2010

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  • Max Schanzenbach

Abstract

This study evaluates tort reform's impact on private health insurance coverage. Tort reform may reduce costly damage awards and defensive medicine. On the other hand, tort reform may increase health care costs by reducing doctors' caretaking or increasing questionable treatments. Reducing health care costs should increase health insurance coverage rates, while cost increases should decrease coverage rates. We find that between 1981 and 2007 damage caps, collateral source reform, and joint-and-several liability reform increased health insurance coverage among price-sensitive groups between one-half and one percentage points each. We conclude that tort reform reduces health care costs, at least for price-sensitive groups. Copyright 2010, Oxford University Press.

Suggested Citation

  • Max Schanzenbach, 2010. "The Impact of Tort Reform on Private Health Insurance Coverage, February 2010," American Law and Economics Review, American Law and Economics Association, vol. 12(2), pages 263-264.
    • Handle: RePEc:oup:amlawe:v:12:y:2010:i:2:p:263-264
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    File URL: http://hdl.handle.net/10.1093/aler/ahq003
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    Citations

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    Cited by:

    1. Jingshu Luo & Hua Chen & Martin Grace, 2022. "Medicaid expansion, tort reforms, and medical liability costs," Journal of Risk & Insurance, The American Risk and Insurance Association, vol. 89(3), pages 789-821, September.
    2. Benjamin J. McMichael & W. Kip Viscusi, 2017. "The Punitive Damages Calculus: The Differential Incidence of State Punitive Damages Reforms," Southern Economic Journal, John Wiley & Sons, vol. 84(1), pages 82-97, July.
    3. Angelo Antoci & Alessandro Fiori Maccioni & Paolo Russu, 2016. "The Ecology of Defensive Medicine and Malpractice Litigation," PLOS ONE, Public Library of Science, vol. 11(3), pages 1-15, March.
    4. Angelo Antoci & Alessandro Fiori Maccioni & Paolo Russu, 2018. "Medical practice and malpractice litigation in an evolutionary context," Journal of Evolutionary Economics, Springer, vol. 28(4), pages 915-928, September.
    5. Cotet-Grecu, Anca, 2015. "The impact of non-economic damages caps on obstetrics: Incentives versus practice style," Economics & Human Biology, Elsevier, vol. 17(C), pages 29-41.
    6. Avraham, Ronen & Schanzenbach, Max, 2015. "The impact of tort reform on intensity of treatment: Evidence from heart patients," Journal of Health Economics, Elsevier, vol. 39(C), pages 273-288.
    7. Charles L. Baum, 2020. "The effects of medical malpractice tort reform on physician supply an analysis of legislative changes from 2009 to 2016," Southern Economic Journal, John Wiley & Sons, vol. 87(2), pages 540-575, October.
    8. Dove John A. & Dove Laura R., 2020. "US State Tort Liability Reform and Entrepreneurship," Review of Law & Economics, De Gruyter, vol. 16(3), pages 1-45, November.
    9. Benjamin J. McMichael, 2017. "The Demand for Healthcare Regulation: The Effect of Political Spending on Occupational Licensing Laws," Southern Economic Journal, John Wiley & Sons, vol. 84(1), pages 297-316, July.

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