- 13 - Compensation Fund (FPCF) to provide liability coverage in excess of basic policy limits for its participant members. Each hospital was required to pay a yearly fee and assessments. Petitioner first became a participant in FPCF sometime during the fund year 1977-78. Pursuant to the FPCF statute, as in effect in the 1977-78 time frame, petitioner was self-insured for the first $100,000 per claim of liability and any excess liability was to be paid by FPCF. As of November 30, 1979, petitioner had established a reserve fund of $345,000 for this purpose. Subsequent to June 30, 1982, petitioner was insured for medical malpractice with a commercial insurance carrier, and the reserve fund reverted to working capital. FPCF made a series of assessments against its members to cover the deficits arising from the costs of the claims exceeding the membership fees it had collected with respect to a fund year. These assessments represented a proration of the fund deficits among the members based on a formula composed of factors such as type of provider, net fees, and number of providers in each class. As of September 30, 1982, petitioner had been assessed $58,594 for coverage provided for the fund years 1977-78, 1978- 79, and 1981-82, and $56,221 for the fund year 1979-80, for a total of $114,815. Member hospitals, including petitioner, filed a law suit against the State of Florida Department of Insurance and FPCF inPage: Previous 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 Next
Last modified: May 25, 2011