Karsten v. Kaiser Foundation Health Plan of the Mid-Atlantic States, Inc.

MEMORANDUM OPINION

CACHERIS, Chief Judge.

At issue is whether under Virginia law the collateral source rule 1 allows a plaintiff to recover compensatory damages for medical bills previously satisfied by her health maintenance organization (“HMO”), whom she has successfully sued for medical malpractice. For reasons discussed herein, this Court finds that the collateral source rule applies so that plaintiff may receive compensatory damages for medical bills already paid according to her HMO contract, where that same HMO is also liable as the tortfeasor. 2

Plaintiff, Frances T. Karsten (“Karsten”),…