Texas House Bill HB1491

Texas 2021 - 87th Regular

Caption

Relating to the liability of a rural or community hospital for a health care liability claim.

Impact

The bill stipulates that if a final judgment is rendered against a rural or community hospital, the limit of civil liability for noneconomic damages is capped at $100,000. This limitation applies irrespective of the number of defendants involved in the claim or the separate causes of action presented. Thus, smaller hospitals are afforded a degree of protection from potentially ruinous litigation costs, which can be particularly detrimental to their operations.

Summary

House Bill 1491 addresses the liability issues faced by rural and community hospitals in Texas concerning health care liability claims. This legislative measure establishes specific definitions for what constitutes a 'rural or community hospital' and sets limits on civil liability for noneconomic damages in legal claims against such facilities. It aims to provide a legal framework that acknowledges the unique challenges faced by smaller hospitals, particularly in less populated areas.

Contention

Notably, the bill introduces a disparity between liability limits for traditional healthcare institutions and rural hospitals. Critics may see this as a potential undermining of patient rights by limiting the recourse available for malpractice claims linked to healthcare services provided by rural hospitals. Supporters, however, argue that such provisions are necessary for the survival of these hospitals, allowing them to continue serving their communities without the crippling threat of excessive liability claims.