- Patient’s Compensation Fund – HB 69 by Rep. Anthony Ligi (R-Metairie), which allows the Patient’s Compensation Fund (PCF) to hire a money manager to invest its funds in the same manner as the Louisiana State Employees’ Retirement System (LASERS), was passed by both chambers and was sent to the governor for his signature. This bill greatly enhances the ability of the PCF to properly steward the money entrusted to it by the doctors, hospitals and other healthcare professionals seeking the benefits of the Louisiana Medical Malpractice cap. By increasing the return on the funds, it is hoped that upward rate pressure will be ameliorated. Becomes Act 160. Effective 8-15-11.
- Patient’s Compensation Fund – HB 287 and HB 341 by Rep. Chris Hazel (R-Pineville), which protect the funds of the PCF from being appropriated and prevent the state from being liable for the debts of the fund, passed this session. HB 341 is a constitutional amendment that will be submitted to the voters for adoption on Oct 22, 2011 during the primary election. HB 287 is on its way to the governor for his approval. The bills clarify that: 1) The fund cannot be appropriated for another purpose other than administering and paying claims, 2) The earnings on the fund accrue for the benefit of the fund; 3) The PCF is not an insurance company and is not responsible to pay Louisiana Insurance Guaranty Association (LIGA) assessments or entitled to LIGA protection; 4) The state does not back the PCF with full faith and credit; and 5) If the legislature felt that the PCF needed help to keep rates from rising, it could vote an appropriation to help keep rates low. HB 287 becomes Act 263. Effective 8-15-11.