3197 AMH .... ADAM 062
HB 3197 - H AMD
By Representative
On page 2, line 8, after "(7)" insert ""Legal services provider" means an attorney licensed or otherwise authorized to practice law in Washington and any professional services corporation or other entity that provides legal services to a claimant.
(8)"
On page 3, line 26, after "damages," insert "as defined in RCW 4.56.250,"
On page 3, line 28, after "damages" insert ", as defined in RCW 4.56.250"
On page 5, after line 25, insert the following:
"NEW SECTION. Sec. 6. (1) Beginning on March 1, 2005, every legal services provider that provides legal services to a claimant in Washington state with the expectation of receiving compensation under a contract or other agreement for providing such services must report to the commissioner by the first of each month any claim related to medical malpractice for which the legal services provider provided legal services, if the claim resulted in a final:
(a) Judgment in any amount;
(b) Settlement in any amount; or
(c) Disposition of a medical malpractice claim resulting in no payment obtained by the legal services provider by or on behalf of a claimant for whom the legal services provider provided services.
(2) Reports under this section must be filed with the commissioner within thirty days after the claim is resolved.
(3) The commissioner may impose a fine against any legal services provider that violates the requirements of this section.
NEW SECTION. Sec. 7. The reports required under section 6 of this act must contain the following data in a form prescribed by the commissioner for each claim:
(1) The legal services provider's name, address, professional license number, and type of legal practice or expertise for which the legal services provider has malpractice insurance; the name of the legal services provider's firm, if not a sole practitioner, and the location of the legal services provider's main place of business; and the names and professional license numbers, if applicable, of all other legal services providers providing services to the claimant relating to the claim. This information is confidential and exempt from public disclosure, but may be disclosed publicly if the provider or firm provides written consent;
(2) The date the claimant entered into a legal services contract or other agreement with the legal services provider;
(3) The time and labor required, the novelty and difficulty of the questions involved, and the skill requisite to perform the legal services properly;
(4) The fee customarily charged in the locality for similar legal services;
(5) The experience, reputation, and ability of the legal services provider or providers performing the legal services;
(6) Whether the fee for the legal services was fixed or contingent;
(7) Whether the fixed or contingent fee agreement was in writing;
(8) The terms of the fee agreement;
(9) The name and address of the claimant. This information is confidential and exempt from public disclosure, but may be disclosed publicly, if the claimant provides written consent;
(10) The date of suit, if filed;
(11) The claimant's age and sex;
(12) Specific information about the judgment or settlement including:
(a) The date and amount of any judgment or settlement;
(b) Whether the settlement:
(i) Was the result of an arbitration, judgment, or mediation; and
(ii) Occurred before or after trial;
(c) The dollar amount originally demanded, designated, or sought in any judgment or settlement;
(d) The dollar amount actually obtained in any judgment or settlement;
(e) The dollar amount of any judgment or settlement that was paid out to the claimant;
(f) An itemization of:
(i) Economic damages, as defined in RCW 4.56.250, including incurred and anticipated medical expense and lost wages;
(ii) Noneconomic damages, as defined in RCW 4.56.250;
(iii) Loss adjustment expense, including but not limited to court costs, attorneys' fees, and costs of expert witnesses;
(g) If there is no judgment or settlement:
(i) The date and reason for final disposition; and
(ii) The date the case was closed;
(13) A summary of the occurrence that created the claim, which must include:
(a) The final diagnosis for which the patient sought or received treatment;
(b) A description of any misdiagnosis made by the provider of the actual condition of the patient;
(c) The operation, diagnostic, or treatment procedure that caused the injury; and
(d) A description of the principal injury that led to the claim; and
(14) Any other information required by the commissioner, by rule, that helps the commissioner analyze and evaluate the nature, causes, location, cost, and damages involved in medical malpractice cases.
NEW SECTION. Sec. 8. Beginning in 2006, the commissioner must prepare an annual report by June 30th that summarizes and analyzes the reports for medical malpractice filed by legal services providers under section 6 of this act. The report must include an analysis of reports of prior years for which data are collected and must show:
(1) Trends in the availability, quality, and cost of legal services provided to claimants;
(2) The proportionate share of settlements or awards that go to legal services providers; and
(3) The proportionate share of settlements or awards that are received by claimants.
NEW SECTION. Sec. 9. Nothing in sections 6 though 8 of this act require a legal services provider to disclose information that is protected by the attorney-client privilege under RCW 5.60.060(2)."
On page 5, line 28, strike "6" and insert "10"
Renumber the remaining sections consecutively and correct internal references accordingly.
EFFECT: Requires attorneys to report to the Insurance Commissioner any medical malpractice claim for which the attorney provided legal services to the claimant. The report must include detailed information, similar to that required of insurers in the underlying bill, relating to the name, address, and location of the attorney, the occurrence that created the claim, the disposition of the claim, and details about the judgment or settlement in the case. In addition, the attorney must provide information regarding: the novelty and difficulty of the issues involved in the representation; the fee arrangement with the claimant; and the dollar amount originally sought in the claim, the amount actually obtained in a judgment or settlement, and the amount actually paid to the claimant. The attorney is not required to report information that would violate the attorney-client privilege.
The Insurance Commissioner must prepare an annual report based on this information that includes:
(1) Trends in the availability, quality, and cost of legal representation;
(2) The proportionate share of settlements or awards that go to legal services providers; and
3) The proportionate share of settlements or awards that are received by claimants.