"Health & Medical News"

While physicians in some states will see a break in their medical liability premiums next year, Maryland insurance officials are questioning a proposal by the state’s largest medical liability insurance carrier to issue a credit to its physician policyholders on Jan. 1, 2008.

In a Sept. 13 order, Maryland Insurance Commissioner Ralph S. Tyler halted Medical Mutual Liability Insurance Society of Maryland’s plans to pay a portion of a $68.6 million dividend to policyholders as a premium discount. The company allotted some of the money to reimburse the state because it subsidizes Medical Mutual’s premiums under a program set up in 2005 to ensure that doctors have access to medical liability insurance.

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A recent Texas Supreme Court decision gives physicians and hospitals a remedy when health plans don’t make payments under Medicare Advantage contracts, doctors and lawyers say.

The state high court on Aug. 31 ruled that a group of Texas hospitals can sue Aetna in state court for allegedly failing to reimburse them. This means the facilities won’t have to go through the Medicare administrative appeals process.

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