Tex. Civ. Practice & Remedies Code Section 74.302
Alternative Limitation on Noneconomic Damages


(a)

In the event that Section 74.301 (Limitation on Noneconomic Damages) is stricken from this subchapter or is otherwise to any extent invalidated by a method other than through legislative means, the following, subject to the provisions of this section, shall become effective:

(1)

In an action on a health care liability claim where final judgment is rendered against a physician or health care provider other than a health care institution, the limit of civil liability for noneconomic damages of the physician or health care provider other than a health care institution, inclusive of all persons and entities for which vicarious liability theories may apply, shall be limited to an amount not to exceed $250,000 for each claimant, regardless of the number of defendant physicians or health care providers other than a health care institution against whom the claim is asserted or the number of separate causes of action on which the claim is based.

(2)

In an action on a health care liability claim where final judgment is rendered against a single health care institution, the limit of civil liability for noneconomic damages inclusive of all persons and entities for which vicarious liability theories may apply, shall be limited to an amount not to exceed $250,000 for each claimant.

(3)

In an action on a health care liability claim where final judgment is rendered against more than one health care institution, the limit of civil liability for noneconomic damages for each health care institution, inclusive of all persons and entities for which vicarious liability theories may apply, shall be limited to an amount not to exceed $250,000 for each claimant and the limit of civil liability for noneconomic damages for all health care institutions, inclusive of all persons and entities for which vicarious liability theories may apply, shall be limited to an amount not to exceed $500,000 for each claimant.

(b)

Effective before September 1, 2005, Subsection (a) of this section applies to any physician or health care provider that provides evidence of financial responsibility in the following amounts in effect for any act or omission to which this subchapter applies:

(1)

at least $100,000 for each health care liability claim and at least $300,000 in aggregate for all health care liability claims occurring in an insurance policy year, calendar year, or fiscal year for a physician participating in an approved residency program;

(2)

at least $200,000 for each health care liability claim and at least $600,000 in aggregate for all health care liability claims occurring in an insurance policy year, calendar year, or fiscal year for a physician or health care provider, other than a hospital; and

(3)

at least $500,000 for each health care liability claim and at least $1.5 million in aggregate for all health care liability claims occurring in an insurance policy year, calendar year, or fiscal year for a hospital.

(c)

Effective September 1, 2005, Subsection (a) of this section applies to any physician or health care provider that provides evidence of financial responsibility in the following amounts in effect for any act or omission to which this subchapter applies:

(1)

at least $100,000 for each health care liability claim and at least $300,000 in aggregate for all health care liability claims occurring in an insurance policy year, calendar year, or fiscal year for a physician participating in an approved residency program;

(2)

at least $300,000 for each health care liability claim and at least $900,000 in aggregate for all health care liability claims occurring in an insurance policy year, calendar year, or fiscal year for a physician or health care provider, other than a hospital; and

(3)

at least $750,000 for each health care liability claim and at least $2.25 million in aggregate for all health care liability claims occurring in an insurance policy year, calendar year, or fiscal year for a hospital.

(d)

Effective September 1, 2007, Subsection (a) of this section applies to any physician or health care provider that provides evidence of financial responsibility in the following amounts in effect for any act or omission to which this subchapter applies:

(1)

at least $100,000 for each health care liability claim and at least $300,000 in aggregate for all health care liability claims occurring in an insurance policy year, calendar year, or fiscal year for a physician participating in an approved residency program;

(2)

at least $500,000 for each health care liability claim and at least $1 million in aggregate for all health care liability claims occurring in an insurance policy year, calendar year, or fiscal year for a physician or health care provider, other than a hospital; and

(3)

at least $1 million for each health care liability claim and at least $3 million in aggregate for all health care liability claims occurring in an insurance policy year, calendar year, or fiscal year for a hospital.

(e)

Evidence of financial responsibility may be established at the time of judgment by providing proof of:

(1)

the purchase of a contract of insurance or other plan of insurance authorized by this state or federal law or regulation;

(2)

the purchase of coverage from a trust organized and operating under Article 21.49-4, Insurance Code;

(3)

the purchase of coverage or another plan of insurance provided by or through a risk retention group or purchasing group authorized under applicable laws of this state or under the Product Liability Risk Retention Act of 1981 (15 U.S.C. Section 3901 et seq.), as amended, or the Liability Risk Retention Act of 1986 (15 U.S.C. Section 3901 et seq.), as amended, or any other contract or arrangement for transferring and distributing risk relating to legal liability for damages, including cost or defense, legal costs, fees, and other claims expenses; or

(4)

the maintenance of financial reserves in or an irrevocable letter of credit from a federally insured financial institution that has its main office or a branch office in this state.
Added by Acts 2003, 78th Leg., ch. 204, Sec. 10.01, eff. Sept. 1, 2003.

Source: Section 74.302 — Alternative Limitation on Noneconomic Damages, https://statutes.­capitol.­texas.­gov/Docs/CP/htm/CP.­74.­htm#74.­302 (accessed Jun. 5, 2024).

74.001
Definitions
74.002
Conflict with Other Law and Rules of Civil Procedure
74.003
Sovereign Immunity Not Waived
74.004
Exception from Certain Laws
74.051
Notice
74.052
Authorization Form for Release of Protected Health Information
74.053
Pleadings Not to State Damage Amount
74.101
Theory of Recovery
74.102
Texas Medical Disclosure Panel
74.103
Duties of Disclosure Panel
74.104
Duty of Physician or Health Care Provider
74.105
Manner of Disclosure
74.106
Effect of Disclosure
74.107
Informed Consent for Hysterectomies
74.151
Liability for Emergency Care
74.152
Unlicensed Medical Personnel
74.153
Standard of Proof in Cases Involving Emergency Medical Care
74.154
Jury Instructions in Cases Involving Emergency Medical Care
74.155
Liability of Physicians, Health Care Providers, and First Responders During Pandemic
74.201
Application of Res Ipsa Loquitur
74.251
Statute of Limitations on Health Care Liability Claims
74.301
Limitation on Noneconomic Damages
74.302
Alternative Limitation on Noneconomic Damages
74.303
Limitation on Damages
74.351
Expert Report
74.352
Discovery Procedures
74.353
Preliminary Determination for Expert Report Requirement
74.401
Qualifications of Expert Witness in Suit Against Physician
74.402
Qualifications of Expert Witness in Suit Against Health Care Provider
74.403
Qualifications of Expert Witness on Causation in Health Care Liability Claim
74.451
Arbitration Agreements
74.501
Definitions
74.502
Scope of Subchapter
74.503
Court Order for Periodic Payments
74.504
Release
74.505
Financial Responsibility
74.506
Death of Recipient
74.507
Award of Attorney’s Fees
74.551
Application
74.552
Affirmative Defense in Certain Actions Arising from Certain Pregnancy Complications

Accessed:
Jun. 5, 2024

§ 74.302’s source at texas​.gov