Bill Haslam lays out
his plan for tort reform.
The Haslam planIn his plan, non-economic damages in medical and personal injury cases would be capped at $750,000, and punitive damages should be limited to twice compensatory damages or $500,000. (Is the 500K the high limit or is the twice compensatory $1.5 million the limit?)
THE STANDARDThere has been inflation, but Bush argued for a nation wide $250,000 cap in 2004. That seems to be about the standard for most states.
Here are some of the caps in other states. Sorry about the formatting
a more clear version can be read here.Non-Economic Damages Cap Total Damages Cap Punitive Damages Cap
Alaska X $250,000–$400,000
California X $250,000
Colorado X $300,000 $1,000,000
Florida X $500,000–$1,000,000
Georgia X $350,000–$1,050,000 $250,000
Hawaii X $375,000 with exceptions
$250,000—adjusted based on average
state wages; some exceptions
$500,000–$1,000,000—ruled unconstitutional but on appeal
Indiana X $250,000–$1,250,000
Kansas X $250,000 $500,000 with some exclusions
Maine X $500,000 in wrongful death actions
Maryland $675,000–$843,750
Massachusetts X $500,000 with exceptions
Michigan X $410,800–$733,500
Mississippi X $500,000
Missouri X $350,000
Montana X $250,000
Nebraska X $500,000–$1,750,000
Greater of $350,000 or 5x compensatory damages
New Mexico X $200,000–$600,000
North Dakota X $500,000
Ohio X $250,000–$1,000,000
Oklahoma X $400,000 with exceptions
Oregon X $500,000 in wrongful death actions
Pennsylvania X 2x actual damages
South Carolina X $350,000–$1,050,000—adjusted for inflation
South Dakota X $500,000
Tennessee
Texas X $250,000–$500,000
Utah X $400,000—adjusted for inflation
Virginia X $2,000,000
West Virginia X $250,000–$500,000
$750,000 for medical negligence Wrongful death: $500,000 for minors
$350,000 for adults
Wyoming
Source: American Medical Association Advocacy Resource Center, 2009.
I hate to say it but even if we pass the standard the governor wants, Tennessee will be at the very top end of all those states with caps by (in most cases) triple the amount.
THE GOALTexas capped noneconomic damages in liability awards and settlements at $250,000 per physician, with a total noneconomic cap for all parties of $750,000
Sixteen months after Texans approved a constitutional amendment to cap noneconomic damages in medical liability suits, the health care community has little doubt that the measure—Proposition 12—is making a difference where it counts: in lowering malpractice premium rates and reducing the number of lawsuits being filed.
For instance, the state's largest professional liability carrier, Texas Medical Liability Trust, reduced its rates by 12%, then dropped them another 5%. A member survey by the Texas Hospital Association (THA) found that members' malpractice liability premiums dropped 8% in 2004 and could fall another 17% this year.
The Texas Hospital Association reported a 70% reduction in the number of lawsuits being filed against the state's hospitals. Analysts also say that the exodus of both physicians and insurance carriers from the state has stopped and may even be reversing.
THE RETORTThe Trial lawyers fire back with what I can only describe as a pitiful excuse of a retort. I was expecting an argument on separation of powers or equal protection but instead they went with "Times are good, why mess with it?"
Weak.