Legal Pearls: California Legislators Make Deal to Avoid Medical Malpractice Ballot Measure

Under the new law, the current cap of $250,000 would increase to $350,000 on January 1, 2023, and then increase over the next decade to $750,000, with a 2% annual increase for inflation after that. Cases involving death will have an increased cap starting at $500,000 in 2023, going up to $1 million in 10 years.

The History

California first enacted its cap as part of the Medical Injury Compensation Reform Act (MICRA), which was signed into law in 1975. A 2014 ballot measure seeking to raise the caps on monetary damages was defeated by a two-thirds vote.

The Decision

In a letter to its members, the California Medical Association’s (CMA) president, Dr Robert E. Wailes, noted that “the two sides of the ballot measure campaign have committed to putting patients first, to prioritizing the stability of affordable access to health care, and to set aside differences to do what’s right for all Californians.”

The Bottom Line

Dr Wailes went on to say that the CMA was working with the Governor’s office and the state legislature to turn the deal into law. “Under the agreement,” he wrote, “the initiative will be withdrawn from the ballot and this watershed agreement will preclude another costly fight.”

Ann W. Latner, JD, is a freelance writer and attorney based in New York. She was formerly the director of periodicals at the American Pharmacists Association and editor of Pharmacy Times.