Studies Link Likelihood of Settlement Payment with Strength of Patient’s Claim
According to an article that appeared in the Summer 2007 issue of Regulation, studies have shown that there is a direct correlation between the likelihood of a settlement payment and the strength of a patient’s claim. Over the previous 30 years, there have been more than a dozen studies looking into the association between the strength of a plaintiff’s malpractice claim and settlements.
All of the studies, except one conducted by Harvard, have found a link between settlements and strong cases. Researchers discovered that only about 10 to 20 percent of weak cases ended with a settlement payment. According to the article, “The Fairness of Malpractice Settlements,” those figures “may overstate the fraction of weak cases that currently result in settlements because settlement of weak cases has reportedly declined since enactment of the federal law requiring that all settlement payments be reported on a national database.” Studies have also found that when weak cases do end up reaching settlements, the amount is usually significantly discounted.
Cases that are considered a “toss-up” have a settlement rate of 40 to 65 percent. Toss-up cases are also heavily discounted due to the uncertainty of the patient’s claim.
Claims that have strong evidence are 85 to 90 percent likely to end up settling. The average payment is also a lot larger for strong cases than for those with weaker evidence.
For more information on medical malpractice claims, order your copy of Ben Glass’s book, Most Medical Malpractice Victims Never Recover a Dime.