Bill Text: CA SB1031 | 2009-2010 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Medical malpractice insurance: volunteer physicians and

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Engrossed - Dead) 2010-06-29 - Set, first hearing. Hearing canceled at the request of author. [SB1031 Detail]

Download: California-2009-SB1031-Amended.html

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BILL NUMBER: SB 1031	AMENDED
	BILL TEXT

	AMENDED IN SENATE  APRIL 5, 2010

INTRODUCED BY   Senator Corbett

                        FEBRUARY 12, 2010

    An act to relating to medicine.   An act to
add Article 17.1 (commencing with Section 2399) to Chapter 5 of
Division 2 of, and to repeal Section 2399.7 of, the Business and
Professions Code, relating to medicine. 


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1031, as amended, Corbett. Medical malpractice insurance:
volunteer physicians and surgeons.
   Under existing law, the Medical Practice Act, the Medical Board of
California is responsible for the certification and regulation of
physicians and surgeons. Existing law requires the board, in
conjunction with the Health Professions Education Foundation, to
study the issue of providing medical malpractice insurance to
volunteer physicians and surgeons and to report its findings to the
Legislature by January 1, 2008.
   The bill would  declare the intent of the Legislature to
implement the findings of that study   create the
Volunteer Insured Physicians Program, administered by the board, to
provide specified medical malpractice insurance coverage to volunteer
physicians providing uncompensated care to low-income patients
pursuant to a contract with a qualified   health care
entity, as defined. The bill would provide unspecified funding for
the program from the Contingent Fund of the Medical Board of
California for a limited period of time. The bill would require
annual reports to the Legislature until January 1, 2015  .
   Vote: majority. Appropriation: no. Fiscal committee:  no
  yes  . State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Article 17.1 (commencing with Section
2399) is added to Chapter 5 of Division 2 of the   Business
and Professions Code  , to read:  

      Article 17.1.  Volunteer Insured Physicians Program


   2399.  This article shall be known and may be cited as the
Volunteer Insured Physicians (VIP) Act, which authorizes the creation
and implementation of the Volunteer Insured Physicians (VIP)
Program.
   2399.1.  (a) For purposes of this article, the following
definitions shall apply:
   (1) "Licensee" means the holder of a physician and surgeon's
certificate who is engaged in the professional practice authorized by
the certificate under the jurisdiction of the board.
   (2) "Volunteer physician" means a licensee under this chapter who
volunteers to provide primary care medical services, as described in
Section 2399.3, to a low-income patient, with no monetary or material
compensation.
   (3) "Qualified health care entity" means a county health
department, hospital district, or hospital or clinic owned and
operated by a governmental entity.
   (4) "Low-income patient" means a person who is without health care
coverage and whose family income does not exceed 200 percent of the
federal poverty level, as defined annually by the federal Office of
Management and Budget.
   (5) "Voluntary service agreement" means an agreement executed
pursuant to this article between the board, a licensee, and a
qualified health care entity that authorizes the health care entity
to enter into a voluntary service contract with the licensee.
   (6) "Voluntary service application" means the written application
developed by the board that a licensee must complete and submit in
order to be considered for participation in the VIP Program.
   (7) "Voluntary service contract" means an agreement executed
pursuant to this article between a licensee and a qualified health
care entity that authorizes the licensee to deliver health care
services to low-income patients as an agent of the qualified health
care entity on a volunteer, uncompensated basis.
   2399.2.  (a) A licensee who wants to provide voluntary,
uncompensated care to low-income patients, but who does not have
medical professional liability insurance that would include insurance
coverage for premiums, defense, and indemnity costs for any claims
arising from voluntary and uncompensated care, may submit a voluntary
service application to the board for coverage under the VIP Program.

   (b) A licensee who submits an application for a waiver of initial
and renewal licensing fees under Section 2083 or 2442 and who also
submits a voluntary service application shall be simultaneously
assessed by the board for eligibility to receive medical professional
liability insurance coverage for premiums, defense, and indemnity
costs through the VIP Program.
   (c) A licensee who has standard medical professional liability
insurance coverage for his or her regular practice but who is not
covered for volunteer service may submit a voluntary service
application to participate in the VIP Program. In conjunction with
the voluntary service application, the licensee shall submit
verification from his or her medical professional liability insurance
carrier that voluntary, uncompensated care is not covered by his or
her existing medical professional liability insurance policy.
   (d) The board shall review the voluntary service application to
determine if the applicant meets the criteria for VIP Program
participation. These criteria shall include both of the following:
   (1) Holding an active license in good standing to practice
medicine in the State of California.
   (2) No record of disciplinary action by the board or any other
regulatory board.
   (e) Continued eligibility for the VIP Program shall be reassessed
by the board during each license renewal cycle.
   2399.3.  (a) Licensees approved by the board for participation in
the VIP Program may enter into a voluntary service agreement with the
board and a qualified health care entity that acknowledges the terms
of the VIP Program and transfers responsibility from the volunteer
physician to the state for medical professional liability insurance,
including premiums, defense, and indemnity costs, for voluntary,
uncompensated medical care that is provided in accordance with an
executed and signed voluntary service contract between the volunteer
physician and the qualified health care entity and that complies with
the terms of the VIP Program.
   (b) Volunteer physicians participating in the VIP Program shall
agree to limit the scope of the volunteer medical care to primary
care medical services.
   (c) The voluntary service contract between the volunteer physician
and the qualified health care entity shall include all of the
following provisions:
   (1) All care provided shall be both voluntary and uncompensated
and shall be provided to low-income patients.
   (2) Patient selection and initial referral shall be made solely by
the qualified health care entity and the volunteer physician shall
accept all referred patients except as otherwise allowed by law.
However, the number of patients that must be accepted may be limited
by the voluntary service contract and patients may not be transferred
to the volunteer physician based on a violation of any antidumping
provisions of the Omnibus Budget Reconciliation Act of 1989 (P.L.
101-239) or the Omnibus Budget Reconciliation Act of 1990 (P.L.
101-508).
   (3) The qualified health care entity shall have access to the
patient records of the volunteer physician delivering services under
the voluntary service contract.
   (4) The volunteer physician shall be subject to supervision by the
qualified health care entity's standard peer review process and all
related laws regarding peer review, including, but not limited to,
the filing of reports pursuant to Section 805.
   (5) The qualified health care entity shall utilize a quality
assurance program to monitor services delivered by the volunteer
physician under the voluntary services contract.
   (6) The right to dismiss or terminate a volunteer physician
delivering services under the voluntary service contract shall be
retained by the qualified health care entity. If the volunteer
services contract is terminated, the qualified health care entity
shall notify the VIP Program in writing within five days.
   2399.4.  The fact that a volunteer physician is insured under the
VIP Program in relation to particular medical services rendered shall
not operate to change or affect the laws applicable to any claims
arising from or related to those medical services. All laws
applicable to a claim remain the same regardless of whether a
licensee is insured through the VIP Program.
   2399.5.  If a volunteer physician covered by the VIP Program
receives notice or otherwise obtains knowledge that a claim of
professional medical negligence has been or may be filed, the
physician shall immediately notify the VIP Program or the contracted
liability carrier.
   2399.6.  All costs for administering the VIP Program, including
the cost of medical professional liability insurance for premiums,
defense, and indemnity coverage for program participants, shall be
paid for from the Contingent Fund of the Medical Board of California,
in an amount not to exceed ____ dollars ($____) per year.
   2399.7.  (a) The board shall report annually to the Legislature
summarizing the efficacy of access and treatment outcomes with
respect to providing health care services for low-income patients
pursuant to this article. The report shall include the numbers of
injuries and deaths reported, claims statistics for all care rendered
under the VIP Program, including the total of all premiums paid, the
number of claims made for each year of the VIP Program, the amount
of all indemnity payments made, the cost of defense provided, and
administration costs associated with all claims made against
volunteer physicians arising from voluntary and uncompensated care
provided under the VIP Program.
   (b) (1) A report to be submitted pursuant to subdivision (a) shall
be submitted in compliance with Section 9795 of the Government Code.

   (2) Pursuant to Section 10231.5 of the Government Code, this
section is repealed on January 1, 2015.
   2399.8.  This article shall remain operative until January 1,
2016, or until another viable source of funding is identified and
adopted, whichever occurs first.  
  SECTION 1.    It is the intent of the Legislature
to implement the findings of the study described in Section 2023 of
the Business and Professions Code, relating to providing medical
malpractice insurance to physicians and surgeons who provide
voluntary, unpaid services.