Hospitals Seen as Potential Growth Area for Litigation Financing

The litigation-financing industry could see new demand from an increase in health care lawsuits, according to Christopher Bogart, chief executive officer of litigation funder Burford Capital Ltd.

“There is such enormous economic pressure in the health care industry that it leads to a fair bit of bad behavior and quite a significant number of disputes,” he said during a media briefing Tuesday. “Insurance companies are increasingly difficult in paying health care claims. That’s probably true for you personally, but it’s also true for corporates.”

Litigation finance is a $15 billion industry in which investors fund lawsuits in exchange ...