Birth Injury Compensation fund in Va in danger of bankruptcy
The Virginia Birth-Related Neurological Injury Compensation Program was designed in the late 1980s and was created for children whose conditions stem from oxygen loss at the time of delivery. In the 1970s, the Virginia legislature capped awards in medical malpractice lawsuits at $1 million, but the cap is increasing because of inflation and will reach $2 million this year. The program was started as an alternative to victims seeking compensation due to injury. Children who have been in the program have lived longer than was initially expected when it began so the financial stability is questionable. In 2000 the program was at risk of running out of money. Some of the factors advanced were long-term cost inaccuracies, non-collection of fees from doctors, hospitals and insurance companies and the purchase of close to 25 houses for some families enrolled. Today, there is enough to last another 20 years, but program officials estimate at least $100 million more is needed for expenses beyond that. Retired obstetrician, Susan Lucas chairs the program’s board. She said when the program was initiated 20 years ago; they did not expect the children to live much past 5. If they did live, it was expected that they would become residents in facilities that would be covered by federal programs such as Medicare and Medicaid. "Things are very different now,'' Lucas said. Average medical expenses are estimated at $2.2 million over a child's lifetime. Now, most of the children live at home but are incapable of performing basic tasks. As of December 31st, 109 children from an original 136 were in the program. Attorney Ann Jones has helped enroll about 30 children and says most of the parents have no idea the program is in trouble. “Most don't know what's going on,” she said. Representatives from the medical, hospital and insurance industries began meeting in 2006 to search for a financial solution. Some parents, such as David Keeler, learned about the meetings and pressed to be included. “These people have put themselves before the children,” said Keeler, whose 14-year-old son, Kyle, is in the program. “I've seen this program that served children, a bright shining example in the country, turn into a complete embarrassment.” In a legislative effort to reduce victims legal recourse, unintended consequences have caused the very people the program was intended to cover, at risk of being abandoned.
