Senate advances negotiated malpractice arbitration bill with six-year sunset

A negotiated medical-malpractice arbitration bill, Senate Bill 138, advanced on Feb. 20 after extended debate about patient choice, coercion risk and actuarial timing.

Senator Blackmon, sponsor, described SB138 as the product of an agreement between medical providers and trial lawyers that would allow doctors and patients to agree up front to resolve malpractice claims through a three-member arbitration panel rather than a jury. "This is a consensus bill," the sponsor said, noting safeguards including a 30-day opt-out and a six-year sunset that will allow lawmakers to evaluate outcomes.

Senator Hilliard explained his decision to vote no, saying he was concerned patients might be pressured to sign arbitration agreements to obtain non-emergency care and he wanted clearer protections for patients who decline arbitration. "I was concerned ... that a doctor could refuse to give service to a patient who refuses to sign the arbitration agreement," Hilliard said.

Senator Bell and other supporters urged passage as a way to stabilize malpractice costs and preserve provider availability, particularly in high-risk areas such as obstetrics, while the sunset provides an evaluation window. The Senate moved SB138 to third reading after a roll-call result showing broad support with a few no votes recorded.

Outcome: SB138 passed the Senate and will proceed to third reading; the statute includes a 30-day post-service opt-out and a six-year sunset to permit assessment of impacts on litigation costs and access to care.

Context: The bill was the result of interstakeholder negotiation and includes explicit monitoring provisions and a pathway to revisit or repeal the policy at sunset.