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Health Law
Drexel University School of Law
Furrow, Barry R.

Health Law I

Professor Furrow

Drexel University

Fall 2014

Table of Contents

Duties to Treat……………………………………………………………………………………………………………. 4

EMTALA……………………………………………………………………………………………………………………………………………………………. 5

Quality…………………………………………………………………………………………………………………………. 5

Licensure………………………………………………………………………………………………………………………………………………………….. 5

Unlicensed providers………………………………………………………………………………………………………………………………….. 6

Scope of Practice…………………………………………………………………………………………………………………………………………… 7

Nursing Homes………………………………………………………………………………………………………………………………………………. 7

Public Health………………………………………………………………………………………………………………. 8

Contagious Diseases……………………………………………………………………………………………………………………………………. 8

Health insurance protection……………………………………………………………………………………… 9

Experience v. Community Rating………………………………………………………………………………………………………… 10

Individual Mandate…………………………………………………………………………………………………………………………………… 12

Managed Care…………………………………………………………………………………………………………… 13

HMO v PPO…………………………………………………………………………………………………………………………………………………. 14

ACA Managed Care Changes…………………………………………………………………………………………………………………… 15

Medicare…………………………………………………………………………………………………………………… 16

Medicaid…………………………………………………………………………………………………………………… 18

Eligibility………………………………………………………………………………………………………………………………………………………. 19

Professional relationships……………………………………………………………………………………….. 21

Duties of Boards……………………………………………………………………………………………………….. 24

Fraud and Abuse………………………………………………………………………………………………………. 24

Cost, Quality, Access, Choice

How is the ACA shaping the insurance field?

· Spreading cost/risk – subsidizing those who have high medical costs

o If only paying for the really sick, the really sick are not paying enough premiums to cover the services

§ Actuarial value – charge based on the probability of whether the person will get sick or stay healthy – ACA is working to reverse this

Katskee v. BC/BS

· Patient has condition which increases her risk of breast/ovarian cancer from 1.4% to over 55% – claims breach of K

o However, at this point no test exists to provide definitive proof

§ Doctors look at genetic disposition – recommend removal of uterus, fallopian tubes, and ovaries

o Patient does NOT have cancer at this point, just a predisposition

· BC/BS says that the procedure is not medically necessary at that time

o I/T/C – waiting until cancer develops for insurance to cover a procedure isn’t good enough – especially since ovarian cancer is difficult to discover and hard to treat

· Cost/benefit analysis

· We need to think about the patient’s mental welfare – constant fear of developing the disease

· HOLDING: Illness is defined by deviation from the normal that carries some harm or risk of harm

Gawande Article – how do we define and measure quality? How do we deliver these?

· Attorney Costs

· Advanced technology

· Style of practice, lack of preventative services, overutilization

· Asymmetry of information

· Fee for service structure – entrepreneurial doctors are a problem

· Different parts of the system have different priorities

Reference Points for this reading

· ACA is trying to provide better medical services

· Bundle pay

· Interventions to try to reduce error

Duties to Treat

Ricks v. Budge

· Infected Hand case

· Patient physician relationship existed because the doctor had started to treat

· EXCEPTIONS for duty of continuing care:

o Patient withdrawal

o Withdrawal of physician so long as there is sufficient notice

o Cessation of necessity (problem is fixed)

Childs v. Weis

· Pregnant woman comes to ER, doctor says she should consult with her OB/go see the doctor (dispute over the language)

· Relationship is based on implied or express K

o Without this, no duty exist

· Dr did not have duty to treat, he acted ethically

· Child dies after being born on way to other doctor in the car

Williams

· Post-EMTALA but EMTALA does not apply here

o EMTALA only applies to Medicare hospitals

· Native American hospital which exempts the hospital from EMTALA

· White (deceased), probably only needed more oxygen in his tank while in respiratory distress

o Is it that if the hospital had started to treat, would they have been required to continue care? (see Ricks)

Summary of last 3 cases

· At common law, no duty to treat, unless:

o Patient physician relationship – either express or implied K – if true, then duty of continued care with exceptions (3) noted in th

· Three questions for the court to decide:

o Is the statute unconstitutionally vague? – NO

§ Court decides that the statute is not unconstitutionally vague

o Does the statute cover midwifery? – NO

§ Pregnancy is not a disease or pathology, therefore the statute does not cover it

o If lay midwives are not included in the statute, is Ruebke in violation of the law by providing services that would be covered by the statute – NO

§ No, she is working under the supervision of physicians

· Big picture – pregnancy itself may not be entirely medical – midwives are not conflicting with obstetricians

· Persuasive that the legislature never said anything about the care of midwives

Scope of Practice

Sermchief

· Board is worried about licensed nurses giving doctor-like care (costs less)

· Court: Nurses are acting like nurses do, no question as to the qualifications of these specific nurses

· Court: the law requires supervision for non-nursing type care. Was there adequate supervision in this case? – New law eliminates the requirement that a physician directly supervise nursing functions – new law provides more leeway

Nursing Homes

· Nature of the nursing home situation (activities of daily living – ADLs)

o Not subject to peer review or private accreditation

o Difficult to regulate

o Funded and operate through a licensure system – normally don’t have enough beds for the community

§ Many states operate under a certificate of need (CON) program – states power to determine whether a health care facility should be built in the community

· State doesn’t want facilities with empty beds – costs too much

o Counter-argument – demand and not enough supply

o Medicare – covers people over 65 and social security eligible, or disabled – only will fund 100 days of skilled nursing care (in-hospital based insurance)

§ Will pay for home-based care without a cap

o Medicaid – covers long-term care, BUT must meet an income threshold level

§ Nursing care is one of the largest expenditures of Medicaid

§ Primary way that people finance their long-term nursing care

Smith v. Heckler

· State must comply with quality standards set by federal government

· Facility-oriented v. patient-oriented

o SSA-1569 – has nursing homes submit written documents about their care

§ Doesn’t require patient interviews, feedback, etc. Not patient centered

· Medicaid act has in mind the type of care actually delivered

· HOLDING: Medicaid act requires a patient-oriented system, rather than a facility oriented enforcement system

· NHRA (Nursing Home Reform Act) – created to apply a patient oriented system