Caps medical payouts for injured people to help at-fault parties
Calculating Medical Expenses for Damage Awards · Introduced as of 2026-02-17
Bad for everyday people — on our 1–10 scale, 1 hurts and 10 helps.
What it does
If you get hurt and sue, this bill lets the person who injured you pay less by using your health insurance discounts against you.
What it means for you
This bill punishes injured people for having health insurance. Right now, if someone hurts you, they are supposed to pay for the full cost of your medical care. This bill changes the rules so the person who hurt you only has to pay the discounted rate your health insurance negotiated. You paid the premiums for your insurance, but the person who injured you gets the discount. It also puts strict caps on what uninsured people can claim, heavily favoring insurance companies and big businesses that get sued.
Who it's for
Liability Insurers
Why it scores 2/10 — the receipts
- Accountability (hurts) — Reduces financial consequences for at-fault parties. By capping medical damages at discounted insurance rates, the person who caused the injury pays less than the actual billed cost of the harm they caused.
- Rights & Protections (hurts) — Repeals a long-standing legal protection for victims. The bill explicitly states it 'abrogates the common law collateral source rule,' removing a rule designed to ensure wrongdoers don't benefit from a victim's private insurance.
- Who Bears the Cost (hurts) — Shifts the benefit of insurance to the wrongdoer. The injured person pays the premiums for their health insurance, but this bill gives the financial benefit of the insurance company's negotiated discounts to the at-fault party.
- Process Transparency (helps) — Requires disclosure of financial arrangements. Forces plaintiffs to disclose 'letters of protection' and lawyer-doctor referrals, which adds transparency to the billing process even though it is designed to help the defense.
- Funding Tilt (neutral) — Not a funding bill. This bill changes civil court rules, not state funding.
Follow the money
Pushing for it: Liability insurers and at-fault defendants
Bearing the cost: Injured plaintiffs
Who's behind it
Republican-sponsored (11R / 2D)