Illinois Business Journal Illinois Business Journal
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Dramatic changes follow Texas medical malpractice tort reform
By ALAN J. ORTBALS

   In the past 18 months, the number of medical malpractice cases filed in the state of Texas has been cut in half. The number of practicing doctors is up. The number of insurance carriers has jumped. And the five largest physician insurers in the state have announced rate cuts this year, totaling approximately $50 million in premium savings to doctors and hospitals.
   This has all been due to the passage of Texas House Bill 4 and Proposition 12, according to Jon Opelt, executive director for the Texas Alliance for Patient Access.
   TAPA is a coalition of healthcare providers, consumer groups, professional associations and

insurance carriers; it was formed in 2001 in response to the brewing medical malpractice crisis. The impetus of the nonprofit organization was to bring about medical liability reform.
   HB 4 substantially amended Texas' law regarding medical malpractice torts, including establishing a cap of $250,000 per claimant on non-economic damage awards; limiting time for filing a cause of action; toughening the standard of proof; raising the bar on qualifying expert witnesses; and providing for periodic [continue]

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Gateway Regional Medical Center plans new hospital in Madison County
By ALAN J. ORTBALS

   Bucking the trend of runaway medical malpractice premiums and an exodus of physicians, Gateway Regional Medical Center in Granite City is planning a new hospital near the intersection of Illinois Interstates 255 and 270.
   Mark Benz, Gateway's chief executive officer, said Brentwood, Tenn.-based Community Health Systems bought St. Elizabeth's Medical Center in 2002 and renamed it Gateway. CHS operates general acute care hospitals in non-urban markets throughout the United States, totaling 74 hospitals across 22 states.
   "We're doing well financially here," said Benz.

"We acquired the hospital in 2002 and the revenues and the volumes have just been growing tremendously."
   Gateway Regional, a 406-bed hospital located at 2100 Madison Ave., would be reduced to 206 beds under the plan, with 200 beds being moved to the new hospital.
   "We think that the way the population is growing north of here in the Edwardsville, Maryville, Glen Carbon, Collinsville area that that's perfect demographics," Benz said. "We're looking potentially at the intersection of I-270 and I-255. As 255 goes north to Alton, south to Belleville and east toward the Glen Carbon area, we think it provides exceptional accessibility." [continue]