Document Category: Legal
State: Indiana
Subject Matter: ollateral Source Rule /Damages
Document Title: Health Care Alert Article - Indiana Supreme Court's Decision in Patchett v. Lee

Last week, the Indiana Supreme Court issued a long-awaited opinion holding that discounted reimbursements by government payers, such as Medicare, that are accepted as full payment are admissible to prove the reasonable value of medical services in Indiana. Given the significance of this decision in our practice and your business, I prepared the attached article detailing the opinion. Please feel free to share it with your colleagues.

The Court’s opinion is a major victory for the Indiana defense bar, because, as you know, government reimbursements pale in comparison to the amount billed by healthcare providers. Thus, the amount that a plaintiff blackboards at trial – and even leading up to trial in settlement negotiations – can now be effectively rebutted by the defense with evidence of the amount paid by the government payer. While a jury is not bound to award only the discounted amount, plaintiffs now face an increased risk that juries will consider the amount paid to represent the most reasonable award.


Document Author: Phillip List
Firm/Company: Smith Amundsen LLC
Document Date: October 28, 2016
Search Tags: collateral source rule, medicare, billing, reimbursement, damages
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