INSURANCE HEADACHES TURNING INTO HEARTACHES FOR MENTAL HEALTH CARE

Count Charlotte County Mental Health Services Inc. as the latest victim of
insurance costs.

The Charlotte County program, which counsels and cares for the mentally ill
and substance abusers young and old, is in trouble. Increases in the cost
of medical malpractice insurance and worker's compensation, and a decision
to pay for employees' health insurance, have opened up a $202,000 deficit,
just four months into the fiscal year.

The result? Layoffs. Jerry Ross, executive director of CCMHS, has given
notice to 12 employees than he can no longer afford to keep them on staff.
Their leaving will force other moves, including the shutting down of a
group home that cared for more than a dozen severely mentally handicapped
- -- most of them elderly.

"We began seeing some deficits last May, but nine or 10 people quit and we
were able to make it by not replacing them,' Ross said. "But our medical
malpractice costs went up $90,000, our worker's comp is up $50,000 and we
decided to increase our participation in employees' health insurance since
we cannot give them a raise this year."

Employees will not get a raise because the state contract that pays for
much of the center's operating expenses remains static. Legislators could
not find the money to increase its contribution, even though costs continue
to rise.

Continually pointing the finger at lawyers has not served the medical
community well. If there is a better example of where the problem lies, we
haven't seen it.

Ross says his center has had two claims filed against its staff since 1996
and both were settled out of court. In both instances, he argues, the
center could have won the suit but insurance companies, fearing to roll the
dice, elected to settle the claim.

And, it is not just medical malpractice insurance that has taken its toll
on the budget. Worker's comp and health insurance costs continue to spiral
upward.

State lawmakers are not getting to the heart of health care problems in
Florida. Shutting down G. Pierce Wood Memorial Hospital was just one of
many mistakes that have been made by a state Legislature that continues to
spend less per capita on mental health services than most every other state.

It is yet to be seen how laying off mental health techs, case managers and
substance abuse managers will affect Charlotte County's populace.

The outcome, however, certainly won't be positive.