COVID-19 Liability Protection & ATRA Priority Bill Signed By Gov. Kim Reynolds
ATRA thanks Gov. Kim Reynolds for signing and the Iowa legislature for passing S.F. 2338, providing COVID-19 liability protections and reforming phantom damages in Iowa.
Yesterday, Iowa Governor Kim Reynolds (R) signed into law S.F. 2338, legislation that contains “phantom damages” reform and COVID-19 liability protections.
This legislation was largely based on the American Tort Reform Association’s white paper regarding COVID-19 liability and implements many of the policy solutions put forth by the association.
“We are pleased to see Gov. Reynolds put in place the necessary protections for those serving on the front lines, like our healthcare workers and manufacturers of personal protective equipment,” ATRA President Tiger Joyce said. “Taking action now places Iowa on more solid footing as the nation enters a new phase of economic recovery by protecting critical workers and industries from the unnecessary and overly burdensome costs of litigation.”
The legislation further reforms the system by which “phantom damages” are awarded as recoverable medical expenses in personal injury cases. “Phantom damages” are created when recoveries are calculated using billed charges rather than actual reimbursement. This creates a “phantom” cost which neither the patient nor their insurer ever paid, but inflates the overall cost of the judicial system.
This bill will help reduce costs to the system by requiring evidence of actual amounts paid instead of an often-inflated, billed amount. Reforming the phantom damages system and correcting this discrepancy is a long-time priority of ATRA’s.
“We are grateful for the leadership of Gov. Reynolds, Senate Majority Leader Jack Whitver (R), Speaker of the House Pat Grassley (R), Sen. Zach Whiting (R) and Rep. Gary Carlson (R) and for the work put forth by the legislature in Iowa to create a more balanced judicial system where equal justice is available under the law,” Joyce said.
Latest News
View all news
Third Circuit Ruling Blocks Bankruptcy Proceedings for LTL Management
The American Tort Reform Association (ATRA) is disappointed to learn that the U.S. Court of Appeals for the Third Circuit ruled against LTL Management, LLC in a case regarding the […]
Trial lawyers target agriculture products in ‘Judicial Hellholes’
This op-ed was originally published by Agri-Pulse. Mass tort litigation has become a multi-billion-dollar industry for trial lawyers over the past several decades as they’ve targeted everything from tobacco and […]
Gov. DeSantis Signs Key Legal Reform Bill In Florida
SB 2-A to improve FL property insurance; addresses assignment of benefits, one way attorney fee shifting, third-party bad faith
ATRA Brief Calls on SCOTUS to Review Near Limitless Per Violation Civil Penalties
Arbitrary, excessive punishments result from lack of clarity under some laws
Frivolous ‘No-Injury’ Lawsuits Thrive in California
State ranked No. 3 among worst ‘Judicial Hellholes’ in nation with residents paying $1,900 per year in ‘tort tax’
Endless Coastal Litigation Creates Climate of Lawsuit Abuse in ‘Judicial Hellhole’ Louisiana
Residents pay ‘tort tax’ of more than $1,010 amid all-time high inflation