VIRGINIA ADVANCES DOCTOR PLAN:

Virginia has moved a step closer to allowing physicians in high risk fields to purchase medical malpractice insurance from the state’s risk management office. A measure, S. 601, has passed initial rounds in the General Assembly and is expected to reach Gov. Mark Warner’ desk for his signature soon. The plan expands on an existing state program providing protection for certain free clinics and community hospitals. The new program would be reserved for doctors who have been denied coverage by at least one insurance carrier, received two premium quotes that exceed 125 percent of their last premium or whose insurance carrier stopped writing in Virginia. It would not begin until July 2006. The plan came about as a result of the failure of stronger tort reform proposals that included caps on awards. Sen. Steve Newman, the Lynchburg Republican sponsoring S. 601, had originally proposed a cap on non-economic damages and abolition of the collateral source rule. However, Newman and other backers concluded that there were not enough votes for the original measure. They opted for the revised measure with the state offering coverage as a compromise.