A new study published by Americans for Insurance Reforms (AIR) reveals that medical malpractice rates fluctuate according to the state of the nation's economy. According to the insurance industry, malpractice rates have increased in recent years because of considerable rises in medical malpractice jury awards. But lead author J. Robert Hunter, Director of Insurance for the Consumer Federation of America, disagrees in the latest study, Stable Losses/Unstable Rates.

In the report, Hunter determines that medical malpractice payouts have not increased drastically when compared to the rate of inflation, while insurance premiums have increased and decreased in direct relationship to the economy's condition. Because the economy has been weak since the second half of 2000, medical malpractice insurance rates have increased as a result, says Hunter. Hunter says the new data represents a "smoking gun" that should now end the debate over the cause of the recent medical malpractice crisis.