More Deform Hurting You - And Response (2)

Monday, February 11, 2013

Well, just saw another bill was submitted in Nashville that would take benefits responsible victims secured for themselves and give them to drunk drivers.  It has been masked as the "phantom damages" bill.   

So when the drunk driver takes you out at an intersection, the legislature wants to take away any deductions and benefits you get through your own health coverages that you paid for yourself and give that to the drunk driver.  Bravo.  

This will also hurt BCBS subrogation recoveries.

Jay Kennamer

McMahan Law Firm 

* * * 

If the Phantom Damages Elimination Act proposed by a Tennessee legislator were to become law, recovery of damages for personal injury would be limited. In order to form an opinion whether the bill should be passed or defeated, one must know the limitation sought to be imposed. 

The bill limits only one item of recovery for personal injury, namely, medical expenses. Tennessee law provides that an injured person may recover for past and future medical expenses shown by expert testimony to have been incurred or which are expected to be incurred by reason of the injury. 

If an injured party has health insurance (for example, with BCBS or Medicare), doctors, hospitals and other health care providers probably have agreed in advance to accept less than the actual amount of their medical bills. If so, the injured party pays part of the bills (for example, co-pays and deductibles), and the health insurer pays part of the bills. The remainder of the bills is "written off" or forgiven. 

The health care providers may not recover and the injured party is not liable for the amount of the medical bills which has been forgiven. Under current Tennessee law, however, the injured party, nonetheless, may seek recovery of all of the medical bills. At a trial, the jury would hear testimony about all of the medical bills and would not be told about the fact that part of the bills had been written off and was not owed by the injured party. If the jury awarded the injured party money for the amount of the bills which had been forgiven, the party could keep the money and could not be required to share it with the health care providers. 

The bill seeks to change Tennessee law to provide that the injured party cannot recover the amount of medical bills which was written off. The party could still recover out-of-pocket payments and payments by the health insurer. The bill does not contain any limitation upon recovery of future medical expenses. 

The right of recovery by health insurers would not be affected in any manner. In fact, the bill states specifically that subrogation rights are not altered. 

Don Strickland 

* * *  

However well intended the legislation is, it penalizes the wrong party.  The wrongdoer should be held responsible for all the harm he or she causes.  A party injured by the tortious act (whether intentional or negligence) of another is entitled to recover the reasonable value of necessary medical services.  Presumably, the legislature is seeking to define "reasonable" as what an insurer pays to reimburse a medical provider for services rendered.  In essence, then, the law would punish the victim (and reward the wrongdoer) by precluding the victim from recovering from the wrongdoer for all the harm that he caused, because, the legislature has determined, the original amount of the medical expenses is unreasonable.   

If the legislature believes that the cost of medical care is too expensive and that the lesser amount negotiated by insurers constitutes what is reasonable for the services rendered, then it should regulate the medical industry directly, not through restricting the rights of injured parties. 

Trevor Atchley



Teachers Have Good Compensation Compared To Other Taxpayers

Hamilton County experienced a property tax increase of about 10.7 percent in 2017. By law the reappraisal of property shall not increase tax revenue. So after the reappraisal the state certified millage rate for Hamilton County was 2.4976 per hundred dollars assessed value. The county commission voted to raise the millage rate to 2.7652 per hundred. That's about a 10.7 percent increase ... (click for more)

Neighbors Should Welcome More Neighbors With Union Avenue Development

Residents of Chattanooga can look at Atlanta and Nashville and breath a sigh of relief that housing prices here are cheaper than those to the south and to the west.  That will not continue to be the case, however, if we stifle new housing development at every turn. Home prices in Chattanooga rose at an average of 7.2 percent over the course of 2017,  and the median ... (click for more)

Federal Lawsuit Dismissed In Officer-Involved Shooting Of Javario Eagle

Federal Judge Sandy Mattice has dismissed the lawsuit filed in the officer-involved shooting death of Javario Eagle on Dec. 12, 2015. Attorney Jamie Parks Varnell of the firm of Davis and Hoss said, " Judge Mattice found the five Chattanooga Police Department officers’ use of deadly force to be reasonable in this case. "The jury trial was set for May 8 and was scheduled ... (click for more)

$10,000 Reward Offered For Unsolved Murder Of Janet Newman In 1984

An anonymous donor is contributing $10,000 to the reward fund in the unsolved case of Janet Newman.  Someone killed Ms. Newman 11 days before Christmas in 1984 as she worked alone inside Cannon Towel and Linen on Brainerd Road. When Ms. Newman’s boss returned from running errands in the middle of the afternoon of  Friday, December 14 , he found Ms. Newman’s ... (click for more)

Fulmer Gets 4-Year Contract As Vols Athletic Director

University of Tennessee Chancellor Beverly Davenport announced Thursday that Director of Athletics Phil Fulmer has signed a four-year contract. Fulmer took over as UT's Director of Athletics on Dec. 1, 2017.   "Phillip has been a great partner over the last four months and I commend him for the work he has done with our student-athletes, coaches and staff," Davenport ... (click for more)

Hamilton Heights To Field Boys' Soccer Team In 2018-19

Hamilton Heights Christian Academy has announced the addition of men’s soccer to its athletic program in the 2018-2019 academic year. “We are excited to add this global sport to our athletic program. With the national success of our women and men’s basketball programs, we feel the addition of soccer is a natural fit for the mission of Hamilton Heights Christian Academy,” said ... (click for more)