Medical Malpractice Damages Caps Harm Injured Patients

November 21, 2012

Recently, some have made the argument that New Jersey is experiencing a shortage of physicians due to the price of medical malpractice liability insurance premiums. Those making the claims have contended that doctors trained in New Jersey are leaving the state for other areas with cheaper premiums. After making this conclusion, they then argue that tort reform is the answer to keeping qualified doctors in New Jersey to care for our residents.

Unfortunately, these arguments are misguided and fail to take the rights of those harmed by medical malpractice into account. According to the Institute of Medicine, 98,000 people die annually in the United States as a result of preventable medical errors. This statistic has led the American Association for Justice to conclude that preventable medical errors would be the "sixth leading cause of death in America," if the Centers for Disease Control and Prevention included it as a category.

In addition to the tragic fatalities, in 2003, 181,000 patients sustained serious injuries because of medical negligence, according to the Congressional Budget Office. In total, there are approximately 15 million cases in which a patient is harmed due to medical negligence every year, according to the Institute for Healthcare Improvement.

When considering the large number of patients injured or killed by hospital or physician negligence each year, most would be hard pressed to contend that limiting their rights to just compensation in light of these preventable errors is the appropriate solution.

New Jersey Medical Malpractice Caps

Nevertheless, some continue to press for reforms to the medical malpractice system, arguing caps on damages are the best fix. Medical malpractice caps are imposed on a state-by-state basis and they limit the amount a victim of medical malpractice may recover for his or her injuries.

In New Jersey, punitive damages have been capped in medical malpractice cases. Punitive damages are defined as those that are awarded "because of aggravating circumstances in order to penalize and to provide additional deterrence against a defendant to discourage similar conduct in the future." In New Jersey, victims of medical malpractice are limited to punitive damages that are five times the compensatory damages award or $350,000, whichever is greater. Compensatory damages are those that are awarded specifically to cover the loss suffered by the injured party.

In New Jersey, there are currently no caps on non-economic damages, such as pain and suffering. Studies have found that when such caps are established, the consequences are particularly disastrous for women, the elderly and the most severely injured patients. One study conducted by Harvard Medical School found that non-economic damages caps led to gravely injured patients' awards being reduced seven times those of individuals with only minor injuries. These significant reductions can have serious, lifelong consequences for these patients, who often require continuous medical care after the medical malpractice injury.

If you or a loved one has been injured due to physician negligence, consulting with a skilled, New Jersey medical malpractice attorney will ensure your rights are protected and just compensation is received.

Article provided by Nagel Rice, LLP
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