ASSEMBLY, No. 903

STATE OF NEW JERSEY

216th LEGISLATURE

 

PRE-FILED FOR INTRODUCTION IN THE 2014 SESSION

 


 

Sponsored by:

Assemblywoman  NANCY F. MUNOZ

District 21 (Morris, Somerset and Union)

Assemblyman  ANTHONY M. BUCCO

District 25 (Morris and Somerset)

 

Co-Sponsored by:

Assemblywoman Handlin

 

 

 

 

SYNOPSIS

     Prohibits insurers from raising medical malpractice liability insurance premiums under certain circumstances.

 

CURRENT VERSION OF TEXT

     Introduced Pending Technical Review by Legislative Counsel

  


An Act concerning medical malpractice liability insurance and amending P.L.2004, c.17.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    Section 17 of P.L.2004, c.17 (C.17:30D-22) is amended to read as follows:

     17.  Notwithstanding any other law or regulation to the contrary, an insurer authorized to transact medical malpractice liability insurance in this State shall not increase the premium of any medical malpractice liability insurance policy based on a claim of medical negligence or malpractice against the insured [if the insured is dismissed from an action alleging medical malpractice within 180 days of the filing of the last responsive pleading] unless the claim results in a medical malpractice claim settlement, judgment, or arbitration award against the insured.  For the purposes of this section, "claim" means any demand received by an insured seeking damages that results from a medical incident, or an insured's notice to the insurer of a specific professional services act or omission that the insured reasonably believes may result in a demand for damages.

(cf: P.L.2004, c.17, s.17)

 

     2.    This act shall take effect immediately.

 

 

STATEMENT

 

     This bill provides that an insurer shall not increase the premium of any medical malpractice liability insurance policy based on a claim of medical negligence or malpractice against an insured unless the claim, as defined in the bill, results in a medical malpractice claim settlement, judgment, or arbitration award against the insured.