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History
- Referred to judiciary
- Referred to rules
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
BILL NUMBER:S5940
Title of bill
An act to amend the civil practice law and rules, in relation to awards of damages in medical, dental and podiatric malpractice causes of action, and future economic and pecuniary damages for birth related neurological injuries; and to repeal subdivision (c) of section 5031 of such law and rules relating to awards of damages for future pain and suffering
Purpose
To place a cap on non-economic damages awarded in medical, dental and podiatric malpractice cases.
Summary of provisions
Section one adds a new article 50-C to the Civil Practice Law and Rules (CPLR) entitled "Damage Awards" to place a limitation on non-economic damages.
Section 2 of the bill repeals subdivision c of section .5031 of the CPLR
Section 3 and 4 of the bill excludes actions subject to title four of article 29-D of the Public Health Law also known as the Medical Indemnity Fund in addition to the existing exclusion of future economic and pecuniary damages and makes some technical changes.
Section 5 provides for an effective date.
Justification
New York continues to have the highest medical malpractice costs of any state in the country. It is estimated hospitals spend upwards of $1.6 billion to cover medical malpractice expenses. While there is a variation amongst malpractice payouts and premiums upstate and downstate, New York lawsuits payout an estimated $690 million, almost double what the second highest state, Pennsylvania, paid out.
To bring down the amount of judgments in medical malpractice actions, this bill necessarily establishes statutory language for "noneconomic damages" and caps such damages at $250,000, adjusted annually in accordance with the Consumer Price Index for all Urban Consumers. According to past studies performed by Milliman, such cap would reduce hospital and physician premiums statewide by 24%, translating to savings of $384 million to hospitals.
Legislative history
New bill.
Fiscal implications
Savings to hospitals and other medical professionals.
EFFECTIVE DATE:. Immediately and applies to causes of action and claims accruing on or after such date.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.