RICHMOND, Va. — A bill moving through the Virginia General Assembly would more than double the amount of money patients can collect when they win a medical malpractice lawsuit — but hospital systems are pushing back, arguing it will drive up costs and hurt access to care.
Under current Virginia law, the amount victims of medical negligence can collect is currently capped at $2.7 million. Even if a jury awards a patient $20 million, they can only collect $2.7 million.
The amended bill (SB536), brought by Republican Sen. Mark Obenshain of Rockingham, would raise that cap to $6 million.
"I think there is widespread consensus that something needs to be done," Obenshain said.
House Speaker Don Scott agreed the issue deserves attention.
"I think it's time for us to take a look at that issue," Scott said.
Richmond-area trial lawyer Elliott Buckner, of Cantor Grana Buckner Bucci, spoke in support of the amended bill. He noted that 19 states, including Washington, D.C., have no cap at all — and argued the current cap falls far short of its original intent.
"The cap came in in 1976 at $750,000. Today's money, that's over $8 million. That certainly is a better number at the VTLA likes that a whole lot more, but in the spirit of compromise we've agreed to the 6 million," Buckner said.
The bill would also extend the statute of limitations for filing a medical malpractice claim. Currently, patients have 2 years from the date of the alleged malpractice to bring a claim. Under the proposed changes, that 2-year clock would begin when the act of malpractice is conveyed to the patient by another health care provider.
Scott Johnson, a lobbyist for the Medical Society of Virginia, which represents doctors, told delegates he agreed something needs to be done this year related to the cap — but stopped short of explicitly endorsing the bill. He used a medical metaphor to describe its potential impact.
"In medical terms, this presents a body on the table that is bleeding from the leg," Johnson said. "And we have a choice, apply a tourniquet and save the person's life, But applying the tourniquet may result in loss of the leg."
Brent Rawlings, general counsel for the Virginia Hospital and Healthcare Association, went further, saying hospitals oppose the bill outright and claiming it will lead to a 60% increase in lost costs.
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"This bill as amended, will significantly increase the frequency and severity of claims, damage awards and litigation costs, resulting in increased healthcare costs for consumers and businesses," Rawlings said.
Charlottesville medical malpractice lawyer Les Bowers, of Michie Hamlett, refuted those concerns, pointing to the size of the hospital systems opposing the bill.
"Behind me are a whole bunch of lobbyists from multi-billion dollar organizations: Bon Secours $13 billion a year, HCA $70 billion a year, INOVA $6.5 billion a year. And I could go on. The notion that they cannot absorb an increased cap to $6 million, which is less than the inflation-adjusted cap of 1976, is just frankly wrong," Bowers said.
Rufus Philips of the Virginia Association of Free and Charitable Clinics said he worries about the potential impact on care for lower-income patients.
"We believe it would substantially increase med mal premiums and therefore jeopardize the free clinics' ability to afford malpractice liability coverage for the over 320 paid providers they currently employ," Philips said.
The bill passed out of committee by a vote of 18-4. But everyone CBS 6 talked to said there are still many discussions to be had, and there is no guarantee it will pass out of the General Assembly in its current form or be signed into law by the governor.
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