Last mentioned: Mar 8, 2026
Governor's Signature
Governor Michelle Lujan Grisham signs the bill into law, effective immediately for new insurance cycles.
Legislative Approval
The state legislature passes the compromise bill to decouple clinic caps from hospital caps.
Bill Signing
Governor Lujan Grisham signs the reform into law to take immediate effect on new filings.
Legislative Compromise
Lawmakers reach a deal to create a tiered cap system for different provider types.
Clinic Closure Warnings
Independent medical groups warn of mass closures due to 300% premium increases.
Insurance Crisis Peaks
Independent clinics report inability to find affordable malpractice insurance, threatening closures.
Initial Reform Passed
New Mexico updates Medical Malpractice Act, significantly raising damage caps for all providers.
Previous Reform Passed
Legislation significantly raised malpractice caps, leading to insurance market volatility.
Governor Michelle Lujan Grisham has signed a pivotal medical malpractice bill designed to cap non-economic damages and prevent the exodus of healthcare providers from the state. The legislation addresses long-standing disputes between trial lawyers and medical groups regarding the solvency of the state's Patient's Compensation Fund.
Governor Michelle Lujan Grisham has signed a pivotal medical malpractice bill aimed at stabilizing New Mexico's healthcare market by capping liability for independent clinics. The legislation represents a hard-fought compromise between trial lawyers and medical providers to prevent a mass exodus of outpatient facilities due to soaring insurance premiums.