Medical Injury Compensation Reform Act

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The Medical Injury Compensation Reform Act (MICRA) of 1975 was a California law designed lower medical malpractice premiums for Californians.

[edit] Parts

Micra Consists of the following parts:

  • Damage Caps - non-econmic damages are limited to $250,000
  • Attorney Fees - attorney fees that are taken from the amount of the settlement are limited.
  • Time Limits - older suits are banned
  • Binding Arbitration
  • Periodic Payments - doctors are allowed to pay the award over time

[edit] Results

After 1985, the insurance premiums in California experienced a dramatic decrease. However, it is contested as to whether this decrease was a result of proposition 103 a similar reform bill passed a few years later.