The costs of settling clinical negligence claims have spiralled in the last 30 years says the Medical Defence Union (MDU). The UK's leading medical defence organisation, which celebrates its 125th anniversary this week, revealed average claimants' legal costs had increased by three times the rate of inflation since 1981.

In 2010, the average claimants' costs paid by the MDU on behalf of its doctor members was £44,500, 34 times higher than the figure in 1981 of just £1,300. The average annual increase in claimants' legal costs over the last 30 years was 13 per cent, compared with an average increase in Retail Price Index (RPI) of just four per cent.

Dr Christine Tomkins, MDU Chief Executive, called for action to be taken to address excessive legal costs saying: "The level of claimants' solicitors' costs has accelerated in the last thirty years, well above the rate of inflation and these costs are often completely out of kilter with the damages awarded to the patient. This disproportionality has been even more marked in the last five years where, on average, costs represented 40 per cent of the damages paid and in many cases, far exceeded damages. By comparison, between 1981 and 1990, costs represented just 15 per cent of the damages awarded."

"Fortunately, there is light at the end of the tunnel thanks to Lord Justice Jackson's report. It made recommendations which, if implemented, should restore balance to the system such as a cap on success fees and the end to 'After the Event Insurance' for clinical negligence claims as well as reform of the way costs are managed during the litigation process. We expect the Ministry of Justice to publish a consultation on Lord Justice Jackson's report and we will be submitting a response on behalf of our members."

Dr Tomkins concluded: "The MDU is 125 years old and began at a time when negligence claims against doctors were virtually unheard of. That certainly is not the case today and we have always believed that any patient who is negligently harmed should be properly compensated but it's in neither doctors nor patients' interests for legal costs to be so high."

As part of its 125th anniversary, the MDU opened its archives to reveal that between 1896 and 1909, it assisted with just 405 malpractice claims and paid damages in only five. The compensation payouts ranged from £25 to £100. In 1974 the MDU paid out £429,000 on behalf of members' claims but by 1979, it had paid out three times that much.

Examples of cases found in the MDU archives include:

- 1889: a patient who had a miscarriage sued her doctor for not diagnosing she was actually pregnant with twins. She later miscarried the second foetus and unsuccessfully sought £80 compensation.

- 1904: a patient was awarded £25 damages for pain and suffering after she had to have a second operation to remove a swab left in her body by the first surgical team.

- 1924: A wealthy farmer with mental health problems was awarded damages of £25,000 after being wrongly certified and detained in an asylum although the decision was reversed on appeal.

- 1962: in another case of a retained swab, which went undetected for nine years, a patient was awarded £4,430 compensation.

- 1987: the MDU paid its first £1million compensation award to a young man who sustained severe brain damage following an operation to remove a brain cyst.

- 2009: £6.8 million - the MDU's highest claim to date - was paid to a patient following a delay in diagnosing meningitis.

Source:
Medical Defence Union (MDU)