74th OREGON LEGISLATIVE ASSEMBLY--2007 Regular Session
 
NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .
 
LC 1545
 
                         Senate Bill 337
 
Printed pursuant to Senate Interim Rule 213.28 by order of the
  President of the Senate in conformance with presession filing
  rules, indicating neither advocacy nor opposition on the part
  of the President (at the request of Senate Interim Committee on
  Judiciary)
 
 
                             SUMMARY
 
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
 
  Defines 'insurer' as any person that defends, indemnifies
insured against or makes payment in response to claim for
professional negligence. Defines certain persons within meaning
of ' insured' for purposes of claim reporting requirement.
Expands requirement for reporting professional negligence claims
to include public bodies and certain other insurers. Specifies
that reporting requirement continues to apply to public body if
public body is substituted in place of insured as defendant in
claim of alleged professional negligence.
  Declares emergency, effective on passage.
 
                        A BILL FOR AN ACT
Relating to reports to health professional regulatory boards;
  creating new provisions; amending ORS 30.265 and 742.400; and
  declaring an emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 742.400 is amended to read:
  742.400. (1) As used in this section  { - , - }  { + :
  (a) + } 'Claim' means:
    { - (a) - }  { +  (A) + } A written request for payment for
injury alleged to have been caused by professional negligence
that is made by or on behalf of the injured person to an insurer;
or
    { - (b) - }  { +  (B) + } A written notification to an
insurer by an insured that a person has requested payment from
the insured for injury alleged to have been caused by
professional negligence.
   { +  (b) 'Insured' means a physician, podiatric physician and
surgeon, physician's assistant, optometrist, dentist, dental
hygienist or naturopath on whose behalf an insurer provides a
defense against or indemnity for a claim or on whose behalf the
insurer makes any payment in response to a claim.
  (c) 'Insurer' includes:
  (A) A person that provides a defense against or an indemnity
for, or that makes a payment in response to, a claim made against
a physician, podiatric physician and surgeon, physician's
assistant, optometrist, dentist, dental hygienist or naturopath
that the person employs, with whom the person contracts for
professional services or to whom the person has granted staff
privileges;
  (B) A person that issues or underwrites professional liability
insurance in this state and under the terms of the insurance
indemnifies or provides for the defense of the insured against a
claim or makes a payment on behalf of the insured in response to
a claim; and
  (C) A public body as defined in ORS 30.260 that is subject to
the reporting requirements set forth in ORS 30.278. + }
    { - (2) Any insurer that issues or underwrites professional
liability insurance in this state to any physician or podiatric
physician and surgeon licensed by the Board of Medical Examiners
for the State of Oregon, to any optometrist registered by the
Oregon Board of Optometry, to any dentist or dental hygienist
licensed by the Oregon Board of Dentistry or to any naturopath
licensed by the Board of Naturopathic Examiners shall report any
claim against the insured for alleged professional negligence to
the appropriate licensing board within 30 days after receiving
notice of the claim from the insured or any other person. - }
   { +  (2) Within 30 days after receiving notice of a claim for
alleged professional negligence from the insured or from any
other person, the insurer shall report the claim to the board
that issued a license to or that registered the insured. For
purposes of this section, the insurer shall report the claim to
one of the following boards, as appropriate:
  (a) The Board of Medical Examiners for the State of Oregon for
a claim against a physician, podiatric physician and surgeon or
physician's assistant.
  (b) The Oregon Board of Optometry for a claim against an
optometrist.
  (c) The Oregon Board of Dentistry for a claim against a dentist
or dental hygienist.
  (d) The Board of Naturopathic Examiners for a claim against a
naturopath.
  (3) An insurer shall make the report required by subsection (2)
of this section notwithstanding any instance in a hearing or
proceeding conducted under the laws of this state in which the
insurer is substituted in place of the insured as the person
against whom the claim is made. + }
    { - (3) - }  { +  (4) + } The report required by subsection
(2) of this section shall be kept confidential by all persons who
make or receive   { - it - }  { +  the report + } until the case
is settled or closed and shall include:
  (a) The name of the insured;
  (b) The name of the person making the claim;
  (c) The reason or reasons for which the claim is made; and
  (d) Any additional information the Director of the Department
of Consumer and Business Services considers necessary.
    { - (4) - }  { +  (5) + } Any insurer required to report to a
board under this section shall also be required to advise the
appropriate licensing board of any settlements, awards or
judgments against a physician, { +  podiatric physician and
surgeon, physician's assistant, + } optometrist, dentist or
dental hygienist or naturopath within 30 days after the date of
the settlement, award or judgment.
    { - (5) - }  { +  (6) + } The appropriate board shall provide
copies of all reports required by subsections (2) and (4) of this
section to each health care facility licensed under ORS 441.015
to 441.087, 441.525 to 441.595, 441.815, 441.820, 441.990,
442.342, 442.344 and 442.400 to 442.463 that employs { + ,
contracts for professional services with + } or grants staff
privileges to the person against whom the claim was
 { - filed - }  { +  made + }.
  SECTION 2. ORS 30.265 is amended to read:
 
  30.265. (1) Subject to the limitations of ORS 30.260 to 30.300,
every public body is subject to action or suit for its torts and
those of its officers, employees and agents acting within the
scope of their employment or duties, whether arising out of a
governmental or proprietary function or while operating a motor
vehicle in a ridesharing arrangement authorized under ORS
276.598. The sole cause of action for any tort of officers,
employees or agents of a public body acting within the scope of
their employment or duties and eligible for representation and
indemnification under ORS 30.285 or 30.287 shall be an action
against the public body only. The remedy provided by ORS 30.260
to 30.300 is exclusive of any other action or suit against any
such officer, employee or agent of a public body whose act or
omission within the scope of the officer's, employee's or agent's
employment or duties gives rise to the action or suit. No other
form of civil action or suit shall be permitted. If an action or
suit is filed against an officer, employee or agent of a public
body, on appropriate motion the public body shall be substituted
as the only defendant. { +  Substitution of the public body as
the defendant does not exempt the public body from making any
report required under ORS 742.400. + }
  (2) Every public body is immune from liability for any claim
for injury to or death of any person or injury to property
resulting from an act or omission of an officer, employee or
agent of a public body when such officer, employee or agent is
immune from liability.
  (3) Every public body and its officers, employees and agents
acting within the scope of their employment or duties, or while
operating a motor vehicle in a ridesharing arrangement authorized
under ORS 276.598, are immune from liability for:
  (a) Any claim for injury to or death of any person covered by
any workers' compensation law.
  (b) Any claim in connection with the assessment and collection
of taxes.
  (c) Any claim based upon the performance of or the failure to
exercise or perform a discretionary function or duty, whether or
not the discretion is abused.
  (d) Any claim that is limited or barred by the provisions of
any other statute, including but not limited to any statute of
ultimate repose.
  (e) Any claim arising out of riot, civil commotion or mob
action or out of any act or omission in connection with the
prevention of any of the foregoing.
  (f) Any claim arising out of an act done or omitted under
apparent authority of a law, resolution, rule or regulation that
is unconstitutional, invalid or inapplicable except to the extent
that they would have been liable had the law, resolution, rule or
regulation been constitutional, valid and applicable, unless such
act was done or omitted in bad faith or with malice.
  (4) Subsection (1) of this section applies to any action of any
officer, employee or agent of the state relating to a nuclear
incident, whether or not the officer, employee or agent is acting
within the scope of employment, and provided the nuclear incident
is covered by an insurance or indemnity agreement under 42 U.S.C.
2210.
  (5) Subsection (3)(c) of this section does not apply to any
discretionary act that is found to be the cause or partial cause
of a nuclear incident covered by an insurance or indemnity
agreement under the provisions of 42 U.S.C. 2210, including but
not limited to road design and route selection.
  SECTION 3.  { + (1) The amendments to ORS 742.400 by section 1
of this 2007 Act apply to insurers in operation on or after the
effective date of this 2007 Act and to claims made before, on or
after the effective date of this 2007 Act.
 
 
  (2) The amendments to ORS 30.265 by section 2 of this 2007 Act
apply to public bodies on and after the effective date of this
2007 Act. + }
  SECTION 4. { +  This 2007 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2007 Act takes effect on its
passage. + }
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