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The healthcare delivery system in the United States is inundated with medical malpractice and liability issues, and there is no consensus about causes or solutions. Both physicians and an alliance of lawyers and consumer groups agree that there is a crisis, but physicians claim that the current medical malpractice system inheres in too many lawsuits while the lawyers argue that the current level of litigation is insufficient. Multivariate statistical methods are used in this much needed effort to investigate the effects of medical malpractice on various aspects of health care. After introducing the various tort reforms that have been proposed and implemented by some states, the author analyzes the impact of these reforms on medical malpractice payment rates, claim payments, malpractice insurance, and in dental malpractice. The impact of malpractice liability on costs, licensure, disciplinary action, the supply of physicians, and the practice of defensive medicine are also covered. This is an essential guide for students in law, medicine, and health administration, as well as anyone who wants to research these issues for public policy.