Diane L. Stayton, Plaintiff Below-Appellant v. Delaware Health Corporation, a Delaware Corporation; Harbor…

Summary

The Delaware Supreme Court affirmed the Superior Court’s judgment limiting the plaintiff’s recoverable medical-expense damages to the amount Medicare actually paid. It held that the collateral source rule does not apply to amounts healthcare providers are legally required to write off for Medicare patients, because no one paid or incurred liability for those amounts and the benefit accrued to taxpayers rather than the plaintiff. The Court further held that the Medicare payment is dispositive of the reasonable value of the medical services. STRINE, Chief Justice, concurring, joined the judgment while arguing that provider recoveries, rather than plaintiff windfalls, better serve fairness and deterrence.