5 Types of Publicly Available Data that are Putting Hospitals and Physicians on High Alert

New PPACA Conditions of Participation Will Bolster Malpractice Claims

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Feb 19, 2015, 03:36 ET

ATLANTA, Feb. 19, 2015 /PRNewswire/ -- Publicly available information can be a good thing. But when discrepancies in the information are used to fuel an increase in lawsuits and large jury verdict awards in the healthcare industry, hospitals and physicians must manage their risk like never before.

"This information can and will be used by attorneys and other professionals who selectively pick certain damaging details to use against providers," said Jeffrey Smith, Senior Vice President and Healthcare Leader with Lockton Companies. "Jury verdict sizes in medical malpractice claims against hospitals could meet the same fate as those against nursing homes."

In his white paper, "Medical Malpractice Implications of the PPACA," Smith discusses how that fate resulted in Florida juries awarding verdicts totaling awards of $2.2 billion – among just three nursing home cases – 2012 and 2013. To prepare, Smith lists the key publicly available data of concern for the healthcare industry:

Risk-Adjusted Quality Based Reimbursements
Hospital Readmissions
Hospital Acquired Conditions
Patient Surveys
Care Transitions

"Unfortunately, if courts are not consistent in their evidentiary rulings, more conditions of participation (CoPs) will be admitted, and more plaintiffs will use those regulatory tools as evidence of the standard of care," advised Smith.

As a result, to prepare for these possible inconsistencies, health system risk managers must bolster their basic knowledge of CoPs and understand the extent of their expertise to manage those risks. Areas such as data monitoring, strategic ties to public data, hiring considerations, and survey readiness preparations are some of the starting points for risk managers to assess. This can help create a baseline in preparation for the potential landslide of lawsuits that appear to be on the horizon.

"We are now warned that the amount of publicly available information for hospitals and physicians will increase in the near future; therefore we expect more litigation against hospitals," said Smith. "It is critical to prepare for the coming wave of costly litigation."

About Lockton

More than 5,300 professionals at Lockton provide 41,000 clients around the world with risk management, insurance, and employee benefits consulting services that improve their businesses. From its founding in 1966 in Kansas City, Missouri, Lockton has attracted entrepreneurial professionals who have driven its growth to become the largest privately held, independent insurance broker in the world and 10^thlargest overall. Independent researcher Greenwich Associates has awarded Lockton its Service Excellence Award for risk management for large companies. For six consecutive years, Business Insurance magazine has recognized Lockton as a "Best Place to Work in Insurance." To see the latest insights from Lockton's experts, check Lockton Market Update.

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SOURCE Lockton