Pa. ordered to add $800M to malpractice fund

HARRISBURG, Pa. (AP) — A Pennsylvania court is ordering the state to transfer more than $800 million from its general fund into an account that helps physicians pay their malpractice premiums.

Commonwealth Court panel on today issued a 4-1 decision in favor of the state’s hospitals and physicians, which had argued the state should not have been able to divert surplus money from a program known as MCare.

The dissenting judge warns that the decision throws the current state budget way out of balance, and creates a massive windfall for doctors.

Pennsylvania Medical Society spokesman Chuck Moran says the ruling is what they’d hoped for. Gov. Ed Rendell’s office isn’t commenting.