The net effects of medical malpractice tort reform on health insurance losses: the Texas experience

Health Economics Review

Table 8 Differences-in-Differences-in-Differences Regression Analyses of Texas Reforms for Nine State Sample and Multiple Time Periods

	2002–2004	2002–2005	2002–2006	2002–2007	2002–2008	2002–2009	2002–2010
DDD Estimator	0.4919**	0.4347*	0.0733	0.2393	0.0666	0.2097	−0.1943
DDD Estimator	[0.235]	[0.255]	[0.260]	[0.322]	[0.343]	[0.424]	[0.379]
Treatment Dummy	0.2154***	0.2154***	0.2154***	0.2154***	0.2154***	0.2154***	0.2154***
Treatment Dummy	[0.023]	[0.023]	[0.023]	[0.023]	[0.023]	[0.023]	[0.023]
Control Dummy	1.7160***	1.7160***	1.7160***	1.7160***	1.7160***	1.7160***	1.7160***
Control Dummy	[0.199]	[0.199]	[0.199]	[0.199]	[0.199]	[0.200]	[0.200]
Control*Treatment	−0.7563***	−0.7563***	−0.7563***	−0.7563***	−0.7563***	−0.7563***	−0.7563***
Control*Treatment	[0.292]	[0.292]	[0.292]	[0.292]	[0.292]	[0.292]	[0.292]
Reform Dummy	−0.0404***	−0.0584***	−0.0429***	−0.0415***	−0.0299**	−0.0555***	−0.0442***
Reform Dummy	[0.008]	[0.007]	[0.007]	[0.007]	[0.014]	[0.008]	[0.007]
Treatment*Reform	−0.1005***	−0.0637**	−0.0730**	−0.0920***	0.0243	−0.0416	−0.1374***
Treatment*Reform	[0.025]	[0.029]	[0.029]	[0.026]	[0.041]	[0.026]	[0.025]
Control*Reform	0.1144	0.1988	0.5020***	0.6142***	0.6341***	0.8821***	0.9465***
Control*Reform	[0.117]	[0.131]	[0.168]	[0.189]	[0.189]	[0.232]	[0.253]
Constant	0.3537***	0.3537***	0.3537***	0.3537***	0.3537***	0.3537***	0.3537***
Constant	[0.006]	[0.006]	[0.006]	[0.006]	[0.006]	[0.006]	[0.006]
Observations	2682	2563	2520	2461	2433	2374	2335
R-squared	0.4285	0.4238	0.4177	0.4220	0.4073	0.4083	0.4079

Notes: This table presents the results of several difference-in-differences-in differences analyses obtained using the regressions described generally in eq. 2 and only using the subsample of firms operating in 9 states as the non-treated group. The dependent variable, Losses per Enrollee (LPE), is defined as the dollar amount of health insurance losses incurred by a given insurer, in a given state, during a given year, scaled by the number of plan enrollees for a given insurer, in a given state, during a given year. LPE is also scaled by 1000. In the table, “DDD estimator” is the difference-in-differences-in-differences estimator, “Treatment dummy” indicates firms operating in Texas, and “Reform Dummy” indicates years following the enactment of the Texas reform measures. Each column of output represents a separate analysis that compares LPEs in the year 2002 to a given, single year in the future. Clustered standard errors are presented in parentheses and ***indicates p < 0.01, **indicates p < 0.05, and *indicates p < 0

ISSN: 2191-1991