CT to schedule hearing on medical malpractice insurance

HARTFORD, Conn. -- Gov. M. Jodi Rell has ordered state insurance regulators to schedule a public hearing to review ways to grapple with Connecticut's rising medical malpractice insurance rates.



Rell issued her order Monday after doctors, lawyers and state Attorney General Richard Blumenthal called for a hearing on a 90 percent rate increase.



The informational hearing, which will likely be early next month, is intended to gather ideas for reforms to present to the General Assembly. It will not be a formal hearing on a specific rate increase.



"The governor believes we can get at meaningful information that will help develop policies to bring down rates in the future," said Rell spokesman Dennis Schain.



Insurance Commissioner Susan Cogswell said critics of an 89.6 percent rate increase for The Medical Protective Co. want to "let us know the impact on the health care of Connecticut, and that's what we're going to do."



The hearing, which could address rate filings of other companies, will not automatically reopen the case that resulted in the increase, Cogswell said.



Physicians have complained that high insurance rates are forcing some to retire early, leave Connecticut or scale back their practices.



Blumenthal called for a formal contested-case hearing with witnesses and a requirement that The Medical Protective Co., which insures about 200 doctors in Connecticut, open its financial records for public inspection. Its rate increase took effect July 1.



"If it's just a show-and-tell-type hearing that provides an opportunity for rhetoric and speeches, it won't accomplish the purpose of forcing the company to justify these humongous rate increases," he said.



The Insurance Department also has approved a 23.2 percent rate increase, effective Nov. 1, 2004, for ProSelect Insurance Co., which sought 25 percent. A 14.8 percent increase proposed by the Connecticut Medical Insurance Co. is under review.



The agency is having independent actuaries review medical malpractice filings.