Method and apparatus for deterring frivolous professional liability claims

• US 7,930,194 B2
• Filed: 12/03/2002
• Issued: 04/19/2011
• Est. Priority Date: 12/03/2002
• Status: Active Grant

• Current Assignee: Medical Justice Corporation
• Original Assignee: Medical Justice Corporation
• Inventors: Segal, Jeffrey J.
• Primary Examiner(s): Gilligan; Luke
• Assistant Examiner(s): SEREBOFF, NEAL
• Application Number:
  US10/309,705
• Publication Number:
  US 20040107121A1
• Time in Patent Office: 3,059 Days
• Field of Search: 705/4
• US Class Current: 705/4
• CPC Class Codes: G06Q 40/08 Insurance
• CPC Class Codes: G06Q 99/00 Subject matter not provided for in other groups of this subclass

Abstract

A plan of countersuit insurance provided to professionals, possibly as part of or along with their professional liability insurance, deters frivolous professional malpractice claims. The plan of insurance pays legal costs of countersuits for improper prosecution when a frivolous claim has been made and, preferably, tried to a judgment for the accused professional, and an objective review concludes that the claim was frivolous. The objective review may include initiating a disciplinary proceeding against any expert witness before a professional society to which the witness belongs, for violation of the code of conduct imposed by the society on its members. Ordinarily, such a proceeding would not be initiated unless an initial review indicated at least a possibility of frivolousness, and therefore of success in the proceeding. The outcome of the proceeding could be treated as conclusive proof of frivolousness, or could be treated as just another factor in a frivolousness determination.

Claims

1. A method of using an electronic digital computer system to deter prosecution of frivolous professional liability claims against professionals by recipients of professional services, said method comprising:

accepting entry into said computer system of application data from a professional for a plan of insurance to deter prosecution of frivolous professional liability claims against professionals by recipients of professional services by paying legal costs of prosecuting an improper prosecution claim against a proponent of a frivolous professional liability claim, said application data including acceptance by said professional of a condition of coverage under said plan of insurance requiring said professional to obtain a written agreement from each new recipient of services from said professional, said agreement specifying that in connection with any claim by said recipient against said professional, said recipient will engage only an expert witness who belongs to a professional society having a code of conduct for expert testimony and having a disciplinary procedure for violations of said code of conduct;

accepting entry of underwriting data into said computer system;

processing said application data and said underwriting data in said computer system, including computing pricing for said plan based on said application data and said underwriting data, and issuing said plan of insurance based on said application data and said underwriting data;

accepting entry into said computer system of a request, from a covered professional, for benefits under said plan of insurance, said request including a report of a professional liability claim, including data regarding said professional liability claim and disposition thereof, and data regarding imposition of discipline against said expert witness by said professional society; and

processing said request for benefits in said computer system to make a determination of whether said reported professional liability claim is frivolous;

wherein;

said processing said request for benefits comprises consideration by said computer system of said data regarding imposition of discipline against said expert witness by said professional society.

2. The method of claim 1 further comprising, on completion of said processing said request for benefits, when said determination is that said reported professional liability claim is frivolous, authorizing by said computer system of filing of a lawsuit by or on behalf of said covered professional for improper prosecution against a proponent of said frivolous professional liability claim.

3. The method of claim 1 wherein said processing said request for benefits further comprises an initial review by said computer system, prior to said consideration by said computer system of said data regarding imposition of discipline, based on said data regarding said professional liability claim and disposition thereof.

4. The method of claim 1 wherein said application data further includes acceptance by said professional of a condition of coverage under said plan requiring said professional to obtain a further written agreement from each new recipient of services from said professional, said further agreement specifying that said recipient will not bring any frivolous professional liability claim against said professional.

5. The method of claim 1 further comprising advising others of said issuing.

6. The method of claim 5 wherein said advising comprises, upon initiation of a professional liability claim against said professional, sending by said computer system of a communication to a proponent of said professional liability claim advising said proponent that said professional is covered by said plan of insurance.

7. The method of claim 5 wherein said advising comprises:

maintaining a database of professionals covered under said plan of insurance;

linking said database to a publicly-accessible data communications interface for viewing by any member of the public; and

publicizing existence of said database.

8. The method of claim 7 wherein said linking comprises linking said database to a public data network.

9. The method of claim 1 further comprising, for each professional accepted for coverage under said plan of insurance, printing by said computer system of a certificate evidencing said coverage.

10. The method of claim 1 further comprising disbursing by said computer system of funds to pay costs of prosecuting said improper prosecution claim.

11. The method of claim 10 further comprising disbursing by said computer system of funds to pay costs of a disciplinary procedure against said expert witness before said professional society.

12. The method of claim 1 further comprising disbursing by said computer system of funds to pay costs of a disciplinary procedure against said expert witness before said professional society.

13. A method of using an electronic digital computer system to deter prosecution of frivolous professional liability claims against professionals by recipients of professional services, said method comprising:

accepting entry into said computer system of application data from a professional for a plan of insurance to deter prosecution of frivolous professional liability claims against professionals by recipients of professional services by paying legal costs of prosecuting an improper prosecution claim against a proponent of a frivolous professional liability claim, said application data including acceptance by said professional of a condition of coverage under said plan requiring said professional to obtain a written agreement from each new recipient of services from said professional, said agreement specifying that in connection with any claim by said recipient against said professional, said recipient will engage only an expert witness who belongs to a professional society having a code of conduct for expert testimony and having a disciplinary procedure for violations of said code of conduct;

accepting entry of underwriting data into said computer system;

processing said application data and said underwriting data in said computer system, including computing pricing for said plan based on said application data and said underwriting data, and issuing said plan of insurance based on said application data and said underwriting data.

14. A system of deterring prosecution of frivolous professional liability claims against professionals by customers, said system comprising:

electronic digital computer means for processing an application from a professional for, and issuing to said professional, a plan of insurance to deter prosecution of frivolous professional liability claims against professionals by recipients of professional services by paying legal costs of prosecuting an improper prosecution claim against a proponent of a frivolous professional liability claim, said means for processing and issuing including;

means for accepting entry of application data, said application data including acceptance by said professional of a condition of coverage under said plan of insurance requiring said professional to obtain a written agreement from each new recipient of services from said professional, said agreement specifying that in connection with any claim by said recipient against said professional, said recipient will engage only an expert witness who belongs to a professional society having a code of conduct for expert testimony and having a disciplinary procedure for violations of said code of conduct,

means for accepting entry of underwriting data,

means for computing pricing for said plan based on said application data and said underwriting data, and

means for issuing said plan of insurance based on said application data and said underwriting data;

means for accepting a request, from a covered professional, for benefits under said plan of insurance, said request including a report of a professional liability claim, including data regarding said professional liability claim and disposition thereof, and data regarding imposition of discipline against said expert witness by said professional society; and

means for making a determination of whether said reported professional liability claim is frivolous, including considering discipline against said expert witness by said professional society.

15. The system of claim 14 further comprising means for, when said determination is that said reported professional liability claim is frivolous, authorizing filing of a lawsuit by or on behalf of said covered professional for improper prosecution against a proponent of said frivolous professional liability claim.

16. The system of claim 14 wherein said means for making a determination further comprises means for making an initial review based on said data regarding said professional liability claim and disposition thereof, prior to considering imposition of discipline against said expert witness by said professional society.

17. The system of claim 14 wherein said means for accepting entry of application data accepts entry of further application data including acceptance by said professional of a further condition requiring said professional, as a condition of coverage under said plan, to obtain a written agreement from each new recipient of services from said professional, said agreement specifying that said recipient will not bring any frivolous professional liability claim against said professional.

18. The system of claim 14 further comprising means for advising others of issuance of said plan of insurance to said professional by said means for issuing.

19. The system of claim 18 wherein said means for advising sends, upon initiation of a professional liability claim against said professional, a communication to a proponent of said professional liability claim advising said proponent that said professional is covered by said plan of insurance.

20. The system of claim 18 further comprising:

means for maintaining a database of professionals covered under said plan of insurance;

wherein;

said means for advising comprises means for linking said database to a publicly-accessible data communications interface for viewing by any member of the public, existence of said database being publicized.

21. The system of claim 20 wherein said linking means links said database to a public data network.

22. The system of claim 14 further comprising means for printing a certificate evidencing coverage for each professional accepted for coverage under said plan of insurance.

23. The system of claim 14 further comprising means for disbursing funds to pay costs of prosecuting said improper prosecution claim.

24. The system of claim 23 wherein said means for disbursing further disburses funds to pay costs of a disciplinary procedure against said expert witness before said professional society.

25. The system of claim 14 further comprising means for disbursing funds to pay costs of a disciplinary procedure against said expert witness before said professional society.

26. A system of deterring prosecution of frivolous professional liability claims against professionals by customers, said system comprising:

electronic digital computer means for processing an application from a professional for, and issuing to said professional, a plan of insurance to deter prosecution of frivolous professional liability claims against professionals by recipients of professional services by paying legal costs of prosecuting an improper prosecution claim against a proponent of a frivolous professional liability claim, said means for processing and issuing including;

means for accepting entry of application data, said application data including acceptance by said professional of a condition of coverage under said plan of insurance requiring said professional to obtain a written agreement from each new recipient of services from said professional, said agreement specifying that in connection with any claim by said recipient against said professional, said recipient will engage only an expert witness who belongs to a professional society having a code of conduct for expert testimony and having a disciplinary procedure for violations of said code of conduct,

means for accepting entry of underwriting data,

means for computing pricing for said plan of insurance based on said application data and said underwriting data, and

means for issuing said plan of insurance based on said application data and said underwriting data.

27. A method of using an electronic digital computer system to deter prosecution of frivolous professional liability claims against professionals by recipients of professional services, said method comprising:

accepting entry into said computer system of application data from a professional for a plan of insurance to deter prosecution of frivolous professional liability claims against professionals by recipients of professional services by paying legal costs of prosecuting an improper prosecution claim against a proponent of a frivolous professional liability claim, said application data including acceptance by said professional of a condition of coverage under said plan of insurance requiring said professional to obtain a written agreement from each new recipient of services from said professional, said agreement specifying that in connection with any claim by said recipient against said professional, said recipient will engage only an expert witness who belongs to a professional society having a code of conduct for expert testimony and having a disciplinary procedure for violations of said code of conduct;

accepting entry of underwriting data into said computer system;

processing said application data and said underwriting data in said computer system, including computing pricing for said plan based on said application data and said underwriting data, and issuing said plan of insurance based on said application data and said underwriting data;

accepting entry into said computer system of a request, from a covered professional, for benefits under said plan of insurance, said request including a report of a professional liability claim, including data regarding said professional liability claim;

processing said request for benefits in said computer system to make an initial determination of whether said reported professional liability claim is frivolous; and

upon an initial determination by said computer system that said reported professional liability claim is frivolous, authorizing disbursement of funds for said disciplinary procedure before said professional society.

28. The method of claim 27 further comprising advising others of said issuing.

29. The method of claim 28 wherein said advising comprises, upon initiation of a professional liability claim against said professional, sending a communication to a proponent of said professional liability claim advising said proponent that said professional is covered by said plan of insurance.

30. The method of claim 27 further comprising, for each professional accepted for coverage under said plan of insurance, printing a certificate evidencing said coverage.

31. The method of claim 27 further comprising disbursing funds to pay costs of said disciplinary procedure.

32. A system of deterring prosecution of frivolous professional liability claims against professionals by customers, said system comprising:

electronic digital computer means for processing an application from a professional for, and issuing to said professional, a plan of insurance to deter prosecution of frivolous professional liability claims against professionals by recipients of professional services by paying legal costs of prosecuting an improper prosecution claim against a proponent of a frivolous professional liability claim, said means for processing and issuing including;

means for accepting entry of application data, said application data including acceptance by said professional of a condition of coverage under said plan of insurance requiring said professional to obtain a written agreement from each new recipient of services from said professional, said agreement specifying that in connection with any claim by said recipient against said professional, said recipient will engage only an expert witness who belongs to a professional society having a code of conduct for expert testimony and having a disciplinary procedure for violations of said code of conduct,

means for accepting entry of underwriting data, and

means for computing pricing for said plan of insurance based on said application data and said underwriting data, and issuing said plan of insurance based on said application data and said underwriting data;

means for accepting a request, from a covered professional, for benefits under said plan of insurance, said request including a report of a professional liability claim, including data regarding said professional liability claim;

means for processing said request for benefits to make an initial determination of whether said reported professional liability claim is frivolous;

means for, upon an initial determination that said reported professional liability claim is frivolous, authorizing disbursement of funds for said disciplinary procedure before said professional society.

33. The system of claim 32 further comprising means for advising others of issuance of said plan of insurance to said professional by said means for computing and issuing.

34. The system of claim 33 wherein said means for advising sends, upon initiation of a professional liability claim against said professional, a communication to a proponent of said professional liability claim advising said proponent that said professional is covered by said plan of insurance.

35. The system of claim 32 further comprising means for printing a certificate evidencing coverage for each professional accepted for coverage under said plan of insurance.

36. The system of claim 32 further comprising means for disbursing funds to pay costs of said disciplinary procedure.