ASSEMBLY, No. 2979

STATE OF NEW JERSEY

219th LEGISLATURE

 

INTRODUCED FEBRUARY 20, 2020

 


 

Sponsored by:

Assemblyman  JAY WEBBER

District 26 (Essex, Morris and Passaic)

 

 

 

 

SYNOPSIS

     "Addiction Medicine Philanthropy Act"; provides physicians who provide uncompensated care for treatment of substance use disorders with $250,000 cap on noneconomic damages in actions alleging medical malpractice.

 

CURRENT VERSION OF TEXT

     As introduced.

  


An Act concerning medical malpractice liability for physicians who treat substance use disorders and supplementing Title 2A of the New Jersey Statutes.

 

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

 

     1.    This act shall be known and may be cited as the "Addiction Medicine Philanthropy Act."

 

     2.    a.  A physician licensed to practice medicine and surgery in this State who provides care or treatment for substance use disorders to at least 10 percent of the physician's patients in a calendar year without receiving any compensation for that care or treatment, shall not be liable in any action for noneconomic damages alleging medical malpractice against that physician in an amount that exceeds $250,000.  The $250,000 limit shall apply to cases arising out of care or treatment for substance use disorders provided by the physician during the calendar year following the year the uncompensated care described in this subsection was provided.

     b.    The State Board of Medical Examiners shall adopt rules and regulations, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), that establish procedures for:

     (1)   physicians to report, document, and certify the uncompensated care and treatment for substance use disorders provided in a calendar year and the total number of patients who received care and treatment from the physician during that year;

     (2)   the board to verify that the reported uncompensated care and treatment for substance use disorders was provided to more than 10 percent of the physician's patients; and

     (3)   the board to notify the physician and the Department of Banking and Insurance that the physician qualifies for the medical malpractice insurance limit.

     c.     Upon receipt of notification pursuant to subsection b. of this section, the physician may submit the notification to the physician's medical malpractice insurer and inform the insurer that the physician is subject to a limit of $250,000 in noneconomic damages for the calendar year.

 

     3.    This act shall take effect on January 1 next following the date of enactment.

 

 

STATEMENT

 

     This bill, which is designated the "Medical Philanthropy Act," seeks to encourage physicians to provide professional services for the treatment of substance use disorders without receiving compensation to more than 10 percent of their patients.  In return for the provision of uncompensated care and treatment, the bill establishes a $250,000 cap on noneconomic damages for any case involving care or treatment for substance use disorders.  With a limited malpractice liability risk, the physician will be subject to a reduced medical malpractice insurance premium.

     Specifically, the bill provides that a physician licensed to practice in this State who provides care or treatment for substance use disorders to at least 10 percent of the physician's patients in a calendar year without receiving any compensation for that care or treatment, will not be liable in any action for noneconomic damages alleging medical malpractice against that physician in an amount that exceeds $250,000.  The $250,000 limit will apply to cases arising out of care or treatment for substance use disorders provided by the physician during the calendar year for which the physician qualifies for the $250,000 limit.

     The Board of Medical Examiners is directed to adopt rules and regulations that establish procedures for:

     -- physicians to report, document, and certify the uncompensated care and treatment for substance use disorders provided in a calendar year and the total number of patients who received care and treatment from the physician during that year;

     -- the board to verify that the reported uncompensated care and treatment for substance use disorders was provided to more than 10 percent of the physician's patients; and

     -- the board to notify the physician and the Department of Banking and Insurance that the physician qualifies for the medical malpractice insurance limit.

     Upon receipt of notification from the board, the physician may submit the notification to the physician's medical malpractice insurer and inform the insurer that the physician is subject to a limit of $250,000 in noneconomic damages for the calendar year.

     The bill takes effect on January 1 next following the date of enactment.