If any terms for this concept really do exist, I don’t know of them. But you could do worse than resort to these impressively learned-sounding neologisms which actually comprise the elements "bad + doctor(ing) + doing/making":
Greek root: Kakiat'rogen (n.), kakiatrogen'ic (adj.)
Latin root: No'cimedicinofa'cient (n. & adj.)
The apostrophes are included in order to mark the stressed syllables, which immediately precede the apostrophes.
These expressions still don’t quite convey the sense of the cure being worse than the disease. Unfortunately I think it would be extremely hard, not to say impossible, to neologise such a complex idea in its entirety and still end up with a usably brief single word. So for the time being, a ‘maggiethatcher’ may still be the best shorthand term available. (Beware, this too is a neologism!)
Reply from Erik Kowal (Reading - England)