A lot has been said and written about defensive medicine. Some pundits have stated, “If I’m a patient, I want you to practice defensive medicine.”
This is where the misunderstanding begins. There is universal agreement that doctors should do what is reasonable to keep patients safe. Period. Doctors agree. As do patients and attorneys.
But, defensive medicine is different. Defensive medicine has a different purpose. It includes tests, referrals, and procedures focused primarily on keeping doctors out of the courtroom.
Some will argue “Wait a minute. Shouldn’t a doctor do everything possible to prevent a problem?” Here’s where an analogy helps.
Don’t Let Another April 15th Be Rainy for You: 4 Tax-Saving Ideas You Can Do Now
David B. Mandell, JD, MBA; Jason M. O’Dell, CWM; Carole Foos, CPA
As a physician, do you realize that – between income, capital gains, Medicare, self-employment and other taxes, you spend 40 to 50% of your working hours laboring for the IRS and your state? That is a lot of time with patients for someone else’s benefit. Given the significance of this fact, shouldn’t your advisors be giving you creative ways to legally reduce your tax liabilities? How many tax-reducing ideas does your CPA regularly provide you? If you are like most physicians, you probably get very few tax planning ideas from your advisors.
Given these sobering facts, the purpose of this article is to show you five ways to potentially save and possibly motivate you to investigate these planning concepts now, before the end of the year. Let’s examine them now:
Several weeks ago, the Supreme Court of Missouri reinstated the wrongful death claim against a spine surgeon. The case involves a patient that committed suicide allegedly because of the pain cause by spinal surgery. The patient first underwent surgery in January 2005, to correct the curvature of his spine. Unhappy with the results of the procedure, the patient and his wife filed a medical malpractice action in July of 2005. In March of 2006, the patient committed suicide, leaving his wife and daughter to amend the medical malpractice action into a wrongful death action.
We recently returned from a meeting that included business advisors to doctors. One advisor stated that what we do impacts a trend that has made her particularly sad. This woman, in her 60’s, said she sees residents and fellows graduate from their programs, armed with the latest life-saving techniques, excited to “save the world.” Invariably, … Read more
When times are challenging, you must spend your money wisely. A Physical Medicine and Rehabilitation doctor recently posed this question on a physician social networking site.
Had professional liability coverage with his carrier for 21 months. Now moving to another state to work for the federal government. Worked at a chiropractor’s office – saw about 25 patients. Then opened a solo practice – saw about 120 patients: mostly worker’s comp or personal injury cases.
The carrier wants $12k for tail coverage. “I can’t think of any patient that would have a reason to sue me, but you never know…. Am I taking too much of a risk?”
The race to the bottom is accelerating. A new web site recently came to our attention. (We aren’t naming the site because we don’t want to direct any more traffic to the site than it deserves, which is ZERO. So we shall refer to it as thesitethatdeservesnottobenamed.)
One of our dentist members received an email from thesitethatdeservesnottobenamed bringing a post on that site to his attention. How thesitethatdeservesnottobenamed got the doctor’s email address is anyone’s guess.
The close relationship between Americans and “the neighborhood doctor” is a strong piece of American mythology. People implicitly trust physicians to use their specialized training to make decisions patients may not fully understand, but always trust. At least, that’s the way things used to be. These days, the atmosphere has changed for the worse; some patients no longer trust physicians and physicians sometimes resent their patients. The question is: why?
Last week, the NC State Senate approved changes in the state’s medical malpractice laws; including provisions to give emergency room doctors more protection against lawsuits (changing their malpractice standard from ordinary negligence to gross negligence) and a cap non-economic damages for patients at $500,000 (economic damages and medical payments would not be capped). The proposal now moves to the State House for consideration.
David B. Mandell, JD, MBA and Jason M. O’Dell, CWM
As authors of 4 books for physicians, including our latest, For Doctors Only: A Guide to Working Less & Building More, we have consulted with thousands of doctors of all specialties during the last decade. From this experience, we have become intimately familiar with the mistakes physicians make when working with their CPAs, attorneys, and other financial advisors. Whether it is in the area of tax, asset protection, retirement planning, or other areas, the result is almost always the same. We leave the meetings or conference calls asking ourselves, “How could this doctor get such [poor, uncreative, or just plain wrong] advice?” It would be laughable if it weren’t so troubling.
It is not surprising that physicians do not get the value they should out of their professional advisors. While the typical specialty physician has nearly 25,000 hours of training in his/her profession, there is a grand total of zero hours of training in business or financial issues related to the “business” of being a doctor. After learning how to utilize specialists in other areas of medicine, doctors receive no training in how to choose or evaluate the advisors whose advice and experience will be the backbone of the doctor’s financial plan for his entire career.
Doctors lack the spare time and training to do their own planning and have literally no training on how to find and evaluate the right specialists to assist them, so it is no wonder that most are ill-served by their professional advisors. To be honest, it is actually surprising when we meet a physician who is financially savvy or is properly advised by a team of professional advisors. In our experience, fewer than 5% of physicians are properly advised by a professional team.
The Two Fatal Flaws Of Physician-Advisor Relationships
It was tennis star Andre Agassi that said “Image is everything.” Okay, he overstated it, but Andre did have a point.
Image matters. But does it matter for an expert review of a patient’s chart in evaluating a potential medical malpractice case? The answer is no one knows…yet.
As general counsel for Medical Justice, I thought it might be useful to the members to offer tips on charting.