Health care leaders, lawmakers talk concerns over lack of medical malpractice reform
ALBUQUERQUE, N.M. – There’s no denying New Mexico is a facing a doctor shortage. Anyone who’s tried booking any type of appointment lately will tell you there’s a waitlist, and experts fear things are only going to get worse in 2025.
Health care leaders and state lawmakers know the state’s medical malpractice environment is part of the problem.
Legislators brought solutions to the Roundhouse this year, but they couldn’t get a single one across the finish line – or even close – during the 60-day session.
It’s putting New Mexico’s remaining doctors in a tough spot.
“Our hope is to address this yesterday,” said Dr. Angelina Villas-Adams, president of the New Mexico Medical Society.
Villas-Adams says the Legislature’s lack of action on medical malpractice reform already cost the state at least one doctor.
“He messaged me the last week of the session and asked, ‘Did we get anything done?’ And I said, ‘I’m sorry, I don’t think we’re going to get anything done. Thank you for all your help.’ And he said, ‘OK, well, my wife and I are taking a job in Joplin. And so they’re done.’ They’re gone July 18,” Villas-Adams said.
She fears even more are ready to pack up and leave.
“While there’s many, many reasons why people, physicians, leave the state, a huge part of why they leave the state is the medical malpractice environment,” said Villas-Adams.
Villas-Adams, state lawmakers and the governor say recent changes to state laws unintentionally made New Mexico a lucrative state for medical malpractice cases.
“The trial lawyers are filing so many suits against doctors, twice the national average, twice our average from just three years ago,” said state Sen. Martin Hickey.
“Look at the number of law firms coming from out of state to prosecute these cases here,” Gov. Michelle Lujan Grisham said.
They say that explosion in cases sent medical malpractice insurance premiums sky-high, forcing New Mexico’s doctors into a corner.
“We know that OBGYN, for instance, pay one half to one third in Texas what they pay here. So those are real numbers and that is part of the problem, but the bigger problem is this punitive damages,” said Villas-Adams.
That’s essentially the punishment doctors are ordered to pay themselves after the patient’s medical bills and other costs are taken care of. There’s no limit on punitive damages in New Mexico, contributing to a record $412 million payout in 2024.
“That creates this real sense of fear and anxiety for all providers because they can all be implicated in those punitive damages,” Villas-Adams said. “And so what, what this is creating is, is a situation where independent private practices feel incredibly vulnerable, and so they become not independent private practices anymore. There needs to be protection from those punitive damages.”
Lawmakers brought several potential fixes to the Roundhouse, including plans to limit those punitive damages, revise certain definitions and restrict trial attorney fees. Only one of those bills made it in front of a committee throughout the entire 60-day session and quickly died there.
“Just shows the power of the trial attorneys and the hold that they have in the Legislature,” said House Minority Floor Leader Gail Armstrong.
One medical malpractice attorney says they’re not the problem here.
“It’s the insurance companies who keep their data close to their chests, but who appear to be inflating their costs by taking advantage of this new law that required hospitals to repay their portion of the deficit to the state,” said Kathy Love, a medical malpractice attorney. “They’re justifying increased premiums and scaring providers into thinking that it’s the legal system that’s to blame.”
Villas-Adams says she supports calls for a special session to address medical malpractice because New Mexico is not the only state facing a doctor shortage.
“Physicians get job offers every day, upwards of five job offers a day, from the telephone to postcards to emails. And so we are competing with every state. And so we have to make New Mexico a more desirable place to come, and we need to retain those that are here,” Villas-Adams said.
“People are hurting, and unfortunately, until we all agree to come together to fix it, it’s only going to get worse,” said Hickey.