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Patients May Sue HMOs Over Care, Court Says

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Reuters

In another blow to the managed-care industry, the Illinois Supreme Court has ruled that individuals may sue their health maintenance organizations for medical malpractice, according to court documents. The ruling came as Congress weighs patients’ rights legislation and a group of prominent lawyers plans to file class-action suits against HMOs. It also came just a week after an Ohio jury awarded $51.5 million to the family of a woman whose HMO refused to pay for a certain type of chemotherapy for the cancer that killed her. HMOs, which combine the functions of health insurance companies and health-care providers, have been accused by some consumers and politicians of withholding vital services from patients in order to maximize profits.

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