Bill Text: NJ A5558 | 2018-2019 | Regular Session | Introduced
Bill Title: Concerns recovery of uncompensated medical expenses in civil action for damages arising from automobile accident.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2019-06-10 - Introduced, Referred to Assembly Financial Institutions and Insurance Committee [A5558 Detail]
Download: New_Jersey-2018-A5558-Introduced.html
Sponsored by:
Assemblywoman JOANN DOWNEY
District 11 (Monmouth)
SYNOPSIS
Concerns recovery of uncompensated medical expenses in civil action for damages arising from automobile accident.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning uncompensated economic loss in an action for recovery of damages for bodily injury and amending P.L.1972, c.70.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 12 of P.L.1972, c.70 (C.39:6A-12) is amended to read as follows:
12. Inadmissibility of evidence of losses collectible under personal injury protection coverage. Except as may be required in an action brought pursuant to section 20 of P.L.1983, c.362 (C.39:6A-9.1), evidence of the amounts collectible or paid under a standard automobile insurance policy pursuant to sections 4 and 10 of P.L.1972, c.70 (C.39:6A-4 and 39:6A-10), amounts collectible or paid for medical expense benefits under a basic automobile insurance policy pursuant to section 4 of P.L.1998, c.21 (C.39:6A-3.1) and amounts collectible or paid for benefits under a special automobile insurance policy pursuant to section 45 of P.L.2003, c.89 (C.39:6A-3.3), to an injured person, including the amounts of any deductibles, copayments or exclusions, including exclusions pursuant to subsection d. of section 13 of P.L.1983, c.362 (C.39:6A-4.3), otherwise compensated is inadmissible in a civil action for recovery of damages for bodily injury by such injured person.
The court shall instruct the jury that, in arriving at a verdict as to the amount of the damages for noneconomic loss to be recovered by the injured person, the jury shall not speculate as to the amount of the medical expense benefits paid or payable by an automobile insurer under personal injury protection coverage payable under a standard automobile insurance policy pursuant to sections 4 and 10 of P.L.1972, c.70 (C.39:6A-4 and 39:6A-10), medical expense benefits under a basic automobile insurance policy pursuant to section 4 of P.L.1998, c.21 (C.39:6A-3.1) or benefits under a special automobile insurance policy pursuant to section 45 of P.L.2003, c.89 (C.39:6A-3.3) to the injured person, nor shall they speculate as to the amount of benefits paid or payable by a health insurer, health maintenance organization or governmental agency under subsection d. of section 13 of P.L.1983, c.362 (C.39:6A-4.3).
Nothing in this section shall be construed to limit the right of recovery, against the tortfeasor, of uncompensated economic loss as defined by subsection k. of section 2 of P.L.1972, c.70 (C.39:6A-2), including all uncompensated medical expenses not covered by the personal injury protection limits applicable to the injured party and sustained by the injured party. Medical expenses shall be subject to the current automobile medical fee schedules established pursuant to section 10 of P.L.1988, c.119 (C.39:6A-4.6) and shall be admissible at trial; provided, however, that the amounts of any deductibles, copayments or exclusions, including exclusions pursuant to subsection d. of section 13 of P.L.1983, c.362 (C.39:6A-4.3), shall remain inadmissible pursuant to this section.
(cf: P.L.2003, c.89, s.55)
2. This act shall take effect immediately and apply to causes of action pending on that date or filed on or after that date.
STATEMENT
This bill clarifies further the revisions to the law concerning recovery of uncompensated medical expenses as uncompensated economic loss in actions resulting from an automobile accident, as contained in Senate Bill No. 2432 (1R), which bill has passed both Houses of the Legislature and is currently awaiting the action of the Governor.
S2432 (1R) permits a party injured in an automobile accident to recover, as part of the recovery of uncompensated economic loss, uncompensated medical expenses not covered by the personal inquiry protection (PIP) limits applicable to the injured party and sustained by the injured party. The bill makes it clear that economic loss, as defined in the "New Jersey Automobile Reparation Reform Act," P.L.1972, c.70 (C.39:6A-1 et seq.) otherwise known as the "no-fault law," may include economic loss for any uncompensated medical expenses, notwithstanding the longstanding interpretation of that definition in the statute to the contrary.
In so doing, that bill codifies the holding of the Appellate Division in the consolidated case of Haines v. Taft and Little v. Nishimura, 450 N.J. Super. 295 (App. Div. 2017). On March 26, 2019, the Supreme Court of New Jersey reversed that holding Haines v. Taft 237 N.J. 271 (2019). S2432 (1R) therefore, is consistent with the earlier Appellate Division holding in allowing recovery of such uncompensated medical expenses. It clarifies that all medical expenses that exceed, or are unpaid or uncovered by any injured party's automobile insurance medical PIP coverage, regardless of any health insurance coverage, are claimable by any injured party as against all liable parties. This includes any self-funded health care plans that assert valid liens.
This bill further clarifies the Legislature's intent with respect to the recovery of uncompensated medical expenses by providing that medical expenses shall be subject to the current automobile medical fee schedules established pursuant to section 10 of P.L.1988, c.119 (C.39:6A-4.6) and shall be admissible at trial; provided, however, that the amounts of any deductibles, copayments or exclusions, including exclusions pursuant to subsection d. of section 13 of P.L.1983, c.362 (C.39:6A-4.3), shall remain inadmissible.
This bill removes the provision, contained in S2432 (1R), that allows all medical expenses that exceed, or are unpaid or uncovered by any injured party's medical expense benefits personal injury protection limits, regardless of any health insurance coverage, to be claimed by any injured party as against all liable parties, including any self-funded health care plans that assert valid liens.
