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House passes compromise bill on medical malpractice payouts
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By Robert Nott, The Santa Fe New Mexican
A bill brokered this week by Gov. Michelle Lujan Grisham and state Senate leaders from both parties — hailed as a compromise in an emotional debate over rising medical malpractice costs — passed the House of Representatives in a 63-0 vote Thursday.
Senate Bill 523, drafted in a deal with trial lawyers and health care professionals, will cap medical malpractice payouts for independent outpatient clinics at $1 million, which they say will allow them to obtain malpractice insurance and keep their doors open. Under a law that passed in 2021, some clinics were swept into the same category as hospitals and were set to see the cap on their potential payouts in medical malpractice cases rise to $6 million by 2027 from $750,000 now. Many doctors and other medical professionals whose practices would be affected by the steep increase said they wouldn’t be able to obtain or couldn’t afford to obtain insurance with a cap that high. They warned smaller operations — including ambulatory surgical facilities, standalone emergency rooms and urgent care clinics — would have to close or move out of state to survive. They urged the Legislature to act.