HB 1940 -- Missouri Health Care Stabilization Fund

Sponsor:  Flook

This bill creates the Missouri Health Care Stabilization Fund to
provide excess medical malpractice coverage to health care
providers participating in the fund.  Health care providers must
carry primary medical malpractice coverage with liability limits
of at least $200,000 for each occurrence and at least $600,000
for all claims in any one reporting year.

The fund will be administered by the Health Care Stabilization
Board established within the Department of Insurance consisting
of the department director and nine members representing health
care providers, insurance representatives, attorneys handling
medical malpractice insurance cases, and the public.

All health care providers must participate in the fund and pay
the appropriate membership fees and premium surcharges that are
adequate for paying the claims and expenses of the fund.  The
surcharge will be collected on the same basis as premiums by each
insurer.

A person filing a claim may recover from the fund if they have
coverage, the fund is a named party in the action, and the action
is commenced within certain time limitations.  The fund can
retain counsel, appear, and actively defend itself in any action.

The maximum amount recoverable under the fund for any single
claim cannot exceed $800,000 pursuant to any one judgment or
settlement for any party against a health care provider and an
aggregate cap of $2.4 million for all judgments or settlements
for any health care provider in one year.  The fund will have no
obligation for the payment of punitive damages rendered in any
judgment.

Missouri House of Representatives
93rd General Assembly, 2nd Regular Session
Last Updated November 29, 2006 at 9:45 am