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Indiana Medical Malpractice Act - Chapter 6
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IC
34-18-6
Chapter
6. Patient's
Compensation Fund
IC
34-18-6-1
Creation of fund
Sec. 1. (a)
The patient's
compensation fund is
created to be
collected and
received by the
commissioner for
exclusive use for
the purposes stated
in this article.
(b) The fund and
any income from the
fund shall be held
in trust, deposited
in a segregated
account, invested,
and reinvested by
the commissioner as
authorized by
IC 27-1-13 and does
not become a part of
the state general
fund.
(c) Proceeds of
the annual surcharge
levied on all health
care providers in
Indiana under
IC 34-18-5 shall be
deposited in the
fund.
As added by
P.L.1-1998, SEC.13.
IC
34-18-6-2
Protection of
fund; legal
services; expenses
Sec. 2. (a)
The commissioner,
using money from the
fund, as considered
necessary,
appropriate, or
desirable, may
purchase or retain
the services of
persons, firms, and
corporations to aid
in protecting the
fund against claims.
The commissioner
shall retain the
services of counsel
described in
subsection (b) to
represent the
department when a
trial court
determination will
be necessary to
resolve a claim
against the
patient's
compensation fund.
(b) When
retaining legal
services under
subsection (a), the
commissioner shall
retain competent and
experienced legal
counsel licensed to
practice law in
Indiana to assist in
litigation or other
matters pertaining
to the fund.
(c) The
commissioner has
sole authority for
the following:
(1) Making a
decision regarding
the settlement of a
claim against the
patient compensation
fund.
(2)
Determining the
reasonableness of
any fee submitted to
the department of
insurance by an
attorney who defends
the patient
compensation fund
under this section.
(d) All expenses
of collecting,
protecting, and
administering the
fund shall be paid
from the fund.
As added by
P.L.1-1998, SEC.13.
Amended by
P.L.111-1998, SEC.8.
IC
34-18-6-3 Repealed
(Repealed
by P.L.111-1998,
SEC.16.)
IC 34-18-6-4
Payment of
claims; time for
payment
Sec. 4. (a)
Claims for payment
from the patient's
compensation fund
that become final
during the first six
(6) months of the
calendar year must
be computed on June
30 and must be paid
not later than the
following July 15.
Claims for payment
from the fund that
become final during
the last six (6)
months of the
calendar year must
be computed on
December 31 and must
be paid not later
than the
following January
15.
(b) If the
balance in the fund
is insufficient to
pay in full all
claims that have
become final during
a six (6) month
period, the amount
paid to each
claimant must be
prorated. Any amount
left unpaid as a
result of the
proration must be
paid before the
payment of claims
that become final
during the following
six (6) month
period.
As added by
P.L.1-1998, SEC.13.
IC
34-18-6-5
Warrant for
payment from fund;
vouchers
Sec. 5. The
auditor of state
shall issue a
warrant in the
amount of each claim
submitted to the
auditor against the
fund on June 30 and
December 31 of each
year. The only claim
against the fund
shall be a voucher
or other appropriate
request by the
commissioner after
the commissioner
receives:
(1) a
certified copy of a
final judgment
against a health
care provider; or
(2) a
certified copy of a
court approved
settlement against a
health care
provider.
As added by
P.L.1-1998, SEC.13.
IC
34-18-6-6
Processing of
claims; conditions
of payment;
settlement
Sec. 6. (a)
If an annual
aggregate for a
health care provider
qualified under this
article has been
paid by or on behalf
of the health care
provider, all
amounts that may
subsequently become
due and payable to a
claimant arising out
of an act of
malpractice of the
health care provider
occurring during the
year in which the
annual aggregate was
exhausted shall be
paid from the
patient's
compensation fund
under the following
terms and
conditions:
(1) A health
care provider whose
annual aggregate has
been exhausted has
no right to object
to or refuse
permission to settle
such a claim.
(2) If a
health care provider
or the commissioner
and claimant agree
on a settlement, the
following procedure
must be followed:
(A) A
petition shall be
filed by the
claimant with the
court in which the
action is pending
against the health
care provider or, if
none is pending, in
the circuit or
superior court of
Marion County,
seeking approval of
the agreed
settlement.
(B) A
copy of the petition
shall be served on
the commissioner and
the health care
provider at least
ten (10) days before
filing and must
contain sufficient
information to
inform the other
parties about the
nature of the claim
and the amount of
the proposed
settlement.
(C) The
commissioner may
agree to the
settlement, or the
commissioner may
file written
objections to the
settlement. The
agreement or
objections shall be
filed within twenty
(20) days after the
petition is filed.
(D) The
judge of the court
in which the
petition is filed
shall set the
petition for
approval or, if
objections have been
filed, for hearing,
as soon as
practicable. The
court shall give
notice of the
hearing to the
claimant, the health
care provider, and
the commissioner.
(E) At
the hearing the
commissioner, the
claimant, and the
health care provider
may introduce
relevant evidence to
enable the court to
determine whether or
not the petition
should be approved
if the evidence is
submitted on
agreement without
objections. If the
commissioner and the
claimant cannot
agree on the amount,
if any, to be paid
out of the patient's
compensation fund,
the court shall
determine the amount
for which the fund
is liable and render
a finding and
judgment
accordingly. In
approving a
settlement or
determining the
amount, if any, to
be paid from the
patient's
compensation fund,
the court shall
consider the
liability of the
health care provider
as admitted and
established.
(F) A
settlement approved
by the court may not
be appealed. A
judgment of the
court fixing damages
recoverable in a
contested proceeding
is appealable under
the rules governing
appeals in other
civil cases tried by
the court.
(b) The
commissioner may
adopt rules under
IC 4-22-2
implementing this
section.
As added by
P.L.1-1998, SEC.13.
IC
34-18-6-7
Exemptions from
state procurement
statutes
Sec. 7. The
following are exempt
from IC 5-22
governing state
purchasing:
(1)
Technical
contractual
personnel and
services retained by
the commissioner for
protecting and
administering the
patient's
compensation fund.
(2)
Purchasing of
annuities for
structuring
settlements from the
patient's
compensation fund or
in combination with
the patient's
compensation fund
and the health care
provider's insurer.
As
added by P.L.1-1998,
SEC.13.
Note:
Anyone
who believes they may have a medical
malpractice claim should immediately consult
an attorney with experience in handling such
cases. As with many areas of the law,
medical malpractice law in Indiana is very
complex and contains numerous caveats and
peculiarities. One should not attempt to
interpret or apply the law to one's case
without the consultation of a medical
malpractice lawyer. Given that various
time limitations may apply, it is highly
advisable to consult such an attorney
without delay, in order to avoid having a
potential claim barred.
For more information, or for
a free attorney consultation with The
Powless Law Firm,
click here, or call toll-free:
(888)922-2889.
This page
was last updated on 8/8/05. It is
highly advisable to undertake an independent
review of the current statute to ensure that
no legislative changes have been adopted
since such time.
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