Reasons to Support MICRA

1. Changes to MICRA Will Increase the Overall Cost of Healthcare in California: While eliminating or increasing the MICRA cap on non-economic damages will impact physician medical liability rates, it will also lead to higher costs and reduced access for patients. A recent study found that doubling MICRA’s cap could cost consumers and taxpayers in California $7.9 billion a year in higher healthcare costs.

2. MICRA Creates a Stable Insurance Market so That Physicians Are Willing and Able to Practice Medicine in California: Adopted in 1975, MICRA is the best reason why California has not experienced the regular medical liability crises suffered by physicians in other states. It is a seven-part law where all parties involved with medical liability contributed to a compromise solution that best serves the interests of patients. As a result of MICRA, California has a system that is affordable, gives patients their full economic and medical losses, promotes patient safety and improved patient care, supports teaching hospitals and positions, and permits innovative and experimental medicine.

3. Changes to MICRA Would Increase State Taxpayer Costs: Tax dollars also are used at the state level to fund healthcare services for others. Changes to MICRA will result in increased costs to the state general fund of hundreds of millions of dollars annually by increasing healthcare costs. The following state programs provide healthcare benefits or services and are among those that will be impacted: CalPERS, Medi-Cal, Healthy Families, Department of Mental Health, Department of Corrections, and Department of Developmental Services. Higher costs for these state programs can be made up in only two ways: increased taxes or cuts to other programs and services, such as further cuts to Medi-Cal reimbursements, cuts to education, public safety, transportation, or any of the other services provided by the state.