Home India Ministry of Health and Family Welfare Health Ministry approves compensation formula for Hip implan...
Date: 2018-11-29 Category: Not Applicable State: Union Government Country: India

Health Ministry approves compensation formula for Hip implant cases

Issued by Ministry of Health and Family Welfare · Central Drugs Standard Control Organization

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Executive Summary & Key Takeaways

What it means

  • The Ministry of Health & Family Welfare has approved a formula to determine compensation for patients who received faulty Articular Surface Replacement (ASR) hip implants manufactured by M/s. DePuy International Limited, U.K (M/S Johnson & Johnson Pvt Ltd) prior to August 2010.
  • The compensation formula was developed based on the recommendations of an expert committee and a central expert committee.
  • State/UT governments were requested to form State Level Committees to examine affected patients and make recommendations to the Central Committee.
  • The government has accepted the compensation formula, paving the way for patients to secure compensation from M/S Johnson & Johnson Pvt Ltd.

Key Changes

  • A compensation formula has been approved: B x R x F + Rs 10 lakh, where B is the base amount (Rs 20,00,000), R is the Risk Factor (Disability), and F is the Age Factor.
  • Risk Factor (R) is assigned based on percentage disability: 20%-30% = 1, 30%-40% = 1.5, 40%-50% = 2, 50% & above = 2.5.
  • Age Factor (F) is a variable based on the patient's age, with specific values provided in the gazette.
  • An additional Rs 10 lakh is included for non-pecuniary damages.
  • Compensation will be paid in a time bound manner through bank accounts of affected persons by M/S Johnson & Johnson Pvt Ltd.

Impact Analysis

Patients with Faulty Hip Implants

  • Action Item: Affected patients should approach either the Central Expert Committee or their respective State Level Committees to initiate the compensation process.

M/S Johnson & Johnson Pvt Ltd

  • Action Item: The company should coordinate with the Central Expert Committee and State Level Committees to facilitate the compensation process.

Government (Ministry of Health & Family Welfare)

  • Action Item: The Ministry should continue to create awareness among the public about the compensation scheme and the procedures for availing it.

State/UT Governments

  • Action Item: State Level Committees must examine the affected patients within their respective states and send their recommendations to the Central Committee.

Key Entities Referenced

Central Expert Committee: Committee formed by the government to determine the quantum of compensation for ASR hip implant victims. Ministry of Health & Family Welfare: Government of India ministry responsible for health policy and programs. M/s. DePuy International Limited, U.K: Manufacturer of the faulty Articular Surface Replacement (ASR) hip implants. M/S Johnson & Johnson Pvt Ltd: Related to the manufacturer of the faulty hip implants and responsible for paying the compensation. Dr. Arun Kumar Agarwal: Ex-Dean and Professor of ENT, Maulana Azad Medical College, New Delhi; Chairman of the initial expert committee. Dr. R.K. Arya: Director, Sports Injury Centre; Chairman of the Central Expert Committee responsible for determining the compensation formula. State Level Committees: Committees formed by State/UT governments to examine affected patients and make recommendations to the Central Committee. Articular Surface Replacement (ASR) hip implants: The faulty medical devices that are the subject of the compensation scheme.
Official Source Record View Original Source →
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12/3/2018 Health Ministry approves compensation formula for Hip implant cases Press Information Bureau Government of India Ministry of Health and Family Welfare 29-November-2018 21:59 IST Health Ministry approves compensation formula for Hip implant cases The Ministry of Health & Family Welfare, Government of India today approved formula for determination of compensation for those patients who had received (prior to August, 2010) faulty Articular Surface Replacement (ASR) hip implants manufactured by M/s. DePuy International Limited, U.K (M/S Johnson & Johnson Pvt Ltd). An expert committee was constituted by the Ministry under the Chairmanship of Dr. Arun Kumar Agarwal, Ex-Dean and Professor of ENT, Maulana Azad Medical College, New Delhi to examine the issues relating to faulty ASR Hip Implants. The committee, after detailed examination of the issue, submitted its report alongwith its final recommendation. The report was accepted by the Central Government. Based on the recommendations, the Government constituted a Central Expert Committee under the Chairmanship of Dr. R.K. Arya, Director, Sports Injury Centre to determine the quantum of compensation. All the State/UTs Government have also been requested by the Ministry to form State Level Committees to examine the effected patients within the respective states and to make the process less arduous for the patients. These committees would send their recommendations to the Central Committee. All the State/UTs Government had also been requested to make people aware through newspaper advertisements so that they may approach either Central Expert Committee or State Level Committee. Dr. R.K. Arya, Chairman, Central Expert Committee after holding five meetings prepared a formula for determining compensation for the ASR victim patients. This reads as B x R x F + Rs 10 lakh towards non-pecuniary damages. 99.37 B is the base amount i.e., Rupees Twenty Lakh (Rs 20,00,000) R is the Risk Factor-Disability F is the Age Factor Risk Factor (R ) http://pib.nic.in/newsite/PrintRelease.aspx?relid=186024 1/612/3/2018 Health Ministry approves compensation formula for Hip implant cases Percentage Disability Risk factor to be assigned 20% - 30% 1 30% - 40% 1.5 40% - 50% 2 50% & above 2.5 Age Factor (F) Age Factor 16 228.54 17 227.49 18 226.38 19 225.22 20 224.00 21 222.71 22 221.37 23 219.95 24 218.47 http://pib.nic.in/newsite/PrintRelease.aspx?relid=186024 2/612/3/2018 Health Ministry approves compensation formula for Hip implant cases 25 216.91 26 215.28 27 213.57 28 211.79 29 209.92 30 207.98 31 205.95 32 203.85 33 201.66 34 199.40 35 197.06 36 194.64 37 192.14 38 189.56 39 186.90 40 184.17 http://pib.nic.in/newsite/PrintRelease.aspx?relid=186024 3/612/3/2018 Health Ministry approves compensation formula for Hip implant cases 41 181.37 42 178.49 43 175.54 44 172.52 45 169.44 46 166.29 47 163.07 48 159.80 49 156.47 50 153.09 51 149.67 52 146.20 53 142.68 54 139.13 55 135.56 56 131.95 57 128.33 http://pib.nic.in/newsite/PrintRelease.aspx?relid=186024 4/612/3/2018 Health Ministry approves compensation formula for Hip implant cases 58 124.70 59 121.05 60 117.41 61 113.77 62 110.14 63 106.52 64 102.93 65 & more 99.37 For easy understanding of the patients, illustrative cases of the amount of compensation payable to the patients with ASR Hip implant with disability in relation to their Age and Percentage Disability would work out as below: Compensation Compensation Compensation Age Compensation Amount (in Amount (in Amount (in Factor as Amount (in lakhs) lakhs) for lakhs) for lakhs) for per for Disability50% Age Disability 20- Disability 30- Disability 40- Clinical above 30% 40% 50% Trial (Risk Factor 2.5) Formula (Risk Factor 1) (Risk Factor 1.5) (Risk Factor 2) 20 224.00 55.08 77.63 100.17 122.71 25 216.91 53.66 75.49 97.31 119.14 30 207.98 51.86 72.79 93.72 114.65 http://pib.nic.in/newsite/PrintRelease.aspx?relid=186024 5/612/3/2018 Health Ministry approves compensation formula for Hip implant cases 35 197.06 49.66 69.49 89.32 109.15 40 184.17 47.07 65.60 84.14 102.67 45 169.44 44.10 61.15 78.21 95.26 50 153.09 40.81 56.22 71.62 87.03 55 135.56 37.28 50.93 64.57 78.21 60 117.41 33.63 45.45 57.26 69.08 65 & above 99.37 30.00 40.00 50.00 60.00 The Government today accepted the formula prepared by Central Expert Committee, paving the way for patients to secure compensation from M/S Johnson & Johnson Pvt Ltd in days to come. Compensation will be paid in a time bound manner through bank accounts of affected persons by M/S Johnson & Johnson Pvt Ltd. ******** MV/SK http://pib.nic.in/newsite/PrintRelease.aspx?relid=186024 6/6

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