Ala. Code § 34-24-56 requires physicians to report any final judgment or settlement resulting from a medical malpractice claim:
(a) Every physician or surgeon who holds a license, certificate, or other similar authority issued under the provisions of this article and every professional corporation or professional association of a physician or surgeon shall, during the first 30 days of each calendar year, report to the State Board of Medical Examiners any final judgment rendered against such physician, surgeon, or the professional corporation or professional association of any such physician or surgeon during the preceding year, or any settlement in or out of court during the preceding year, resulting from a claim or action for damages for personal injuries caused by an error, omission, or negligence in the performance of medical professional services, or in the performance of medical professional services without consent.
(b) The report rendered under this section shall include the name of the physician or surgeon against whom the claim was made or asserted, the name of the claimant, a summary of the allegations made, the injuries incurred by the claimant, and the terms of the judgment or settlement. In the event that the judgment or settlement is entered against a professional corporation or a professional association, the report shall also include the name of the physician or physicians employed by or rendering medical services on behalf of the corporation against whom the claim was made or asserted.
(c) The failure to make the report required by this section shall constitute grounds for the imposition of disciplinary sanctions by the Medical Licensure Commission against the license of the physician or surgeon responsible for making such report. Those sanctions may include suspension or revocation or such other sanctions as may be authorized under Section 34-24-361(h) and Section 34-24-381. In the case of a judgment or a settlement entered against a professional corporation or a professional association, each physician owning shares of the voting stock of a professional corporation and each physician member of a professional association shall be individually and jointly responsible for insuring that the report is rendered on behalf of the corporation or association.
Ala. Code § 27-26-5 requires insurance companies to report medical malpractice settlements or judgments:
Any insurance company which sells medical liability insurance to Alabama physicians
or their professional corporations or professional associations or to hospitals or other
health care providers shall be required to report to the state licensing agency which issues
the license of the physician, hospital or other health care provider any final judgment or
any settlement in or out of court resulting from a claim or action for damages for personal
injuries caused by an error, omission or negligence in the performance of professional
services with or without consent rendered by its policyholder within 30 days after entry
of a judgment in court or agreement to settle a claim in or out of court.
The report rendered to the appropriate state agency shall consist of the name of the policyholder, or if the policyholder is a professional corporation or professional association, the name of the physician or physicians against whom the claim was made, the name of the claimant, a summary of the allegations made in the lawsuit, the injuries incurred by the claimant and the terms of the judgment or settlement.
Physicians can report judgments and settlements by marking "yes" to the appropriate question on the annual license renewal form. It is not required to send information along with the renewal; your "yes" answer will trigger a request for documents.
This form may be used by payors to report judgments or settlements.
Additionally, a copy of the report to the National Practitioner Data Bank may be forwarded to the Board as notification.
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