A bill for an act relating to noneconomic damage awards against health care providers, and including effective date and applicability provisions.(Formerly SSB 1063.)
The bill notably limits the total recoverable amount for noneconomic damages in civil actions against health care providers to $250,000 unless the jury finds substantial impairment, significant disfigurement, or death, in which case the cap increases to $1 million. Furthermore, there is a provision for this cap to increase annually by 2.1% starting January 1, 2028. This adjustment intends to keep pace with inflation and rising award potentials, thereby directly impacting how much plaintiffs can claim in such lawsuits.
Senate File 148 seeks to amend existing laws concerning noneconomic damage awards against health care providers in the state of Iowa. The bill defines noneconomic damages as arising from various forms of personal suffering, including pain, mental anguish, and emotional distress. A significant change introduced by this bill is the classification of damages stemming from the loss of dependent care due to severe injury or death of a primary caregiver as economic damages, which allows for a different calculation of damages awarded to plaintiffs in such cases.
While proponents argue that SF148 will stabilize the legal environment for health care providers, reducing the potential for excessively high liability costs, opponents express concern that the measure might limit fair compensation for injured parties. Critics argue that by capping noneconomic damages, particularly in cases of severe injury, the bill could detract from the accountability of health care providers and may disproportionately affect patients who require extensive care and suffering acknowledgment. As such, the debate surrounding this legislation raises important questions about balancing adequate patient compensation and protecting health care providers from potential excessive liabilities.