$5M cap on pain, suffering in truck driving lawsuits close to becoming Iowa law
Iowans will soon face a new $5 million cap on pain and suffering damages in lawsuits involving crashes with trucks and other commercial vehicles.
The Senate's passage of Senate File 228 on a 31-19 vote Monday evening sends the legislation to Gov. Kim Reynolds for her signature.
Three Republicans, Sens. Mark Lofgren, R-Muscatine; Sandy Salmon, R-Janesville; and Cherielynn Westrich, R-Ottumwa; broke with their colleagues and joined Democrats in voting no.
The House passed the bill on March 28.
House and Senate Republicans have volleyed different versions of the legislation back and forth this year as they struggled to reach an agreement.
Supporters say the limits will protect trucking businesses against rising insurance costs, which could be passed on to consumers in the form of higher prices.
More: Iowa bill limiting pain and suffering in trucking crash lawsuits passed by House
Opponents, including some GOP lawmakers, have said they're uncomfortable with the bill because they believe it puts an arbitrary value on human life, while other opponents have said it limits Iowans' right to a jury trial.
The Senate originally passed a $2 million cap on damages, and the final version of the bill is the result of a deal struck by the trucking industry and trial lawyers, who were at odds over the bill.
"While I believe that this amendment is far short of the policy that would be ideal, it is at least a step in the right direction," said Sen. Mike Bousselot, R-Ankeny, the bill's floor manager.
Sen. Nate Boulton, D-Des Moines, said the final version of the bill that was negotiated helps improve many of the parts of the earlier bill that Democrats had criticized.
"While I still have objections to the bill’s overall impact that limits and impairs the constitutional right to a jury trial, I do want to take this moment to acknowledge the work done by so many to get us to a much better piece of legislation here," he said.
When would the $5 million limit on damages for pain and suffering apply?
Iowans who sue after being struck by a truck or commercial vehicle would be limited to receiving $5 million per plaintiff for pain and suffering — known as noneconomic damages — in most cases.
The bill would not limit economic damages, such as compensation for lost wages or medical expenses.
The bill also allows plaintiffs to recover 100% of punitive damages in trucking lawsuits, if any are awarded. Punitive damages are awarded as punishment for serious misconduct by a defendant and are viewed as a deterrent against future misconduct by the defendant or others.
More: 'What is the value of life?' Iowa bills to cap lawsuits pit Republicans against Republicans
The bill contains several exceptions. The limit would not apply in several situations, including if a court finds that the driver of the commercial vehicle:
Was operating under the influence of drugs or alcohol.
Committed a felony involving the use of a motor vehicle.
Was involved in manufacturing or delivering a controlled substance.
Was driving without a proper commercial driver's license or driving with a revoked or suspended license.
Was driving a vehicle involved in human trafficking.
Was driving recklessly.
Was using a device like a phone while driving.
Was going 15 miles per hour or more over the speed limit.
The Iowa secretary of state would be required to adjust the cap for inflation every two years, beginning in 2028.
Employers would be shielded from liability for negligently hiring a truck driver
Companies could not be sued for negligence in hiring a truck driver who is involved in a collision.
If the employer agrees that the driver was its employee and acting in the scope of the driver's employment, then the bill directs the courts to dismiss any legal claims that the company negligently hired the driver.
A previous version of the bill also shielded employers from liability for negligently supervising, training or trusting an employee involved in a crash, but the final legislation removes those protections for businesses.
Which vehicles would be covered?
The final version of the bill includes a far narrower definition of "commercial vehicle" than the language that originally passed the Senate in February, meaning the cap on damages wouldn't apply in as many situations.
The current bill defines commercial vehicles as those weighing more than 26,000 pounds, vehicles transporting hazardous materials, glider kit vehicles, road tractors, tow trucks and truck tractors.
The earlier version would have included those vehicles as well as many others, such as buses, delivery trucks for companies like Amazon or UPS and pickup trucks if the truck was owned by a company.
More: Kim Reynolds signs limits on damages for pain, suffering in medical malpractice lawsuits
Stephen Gruber-Miller covers the Iowa Statehouse and politics for the Register. He can be reached by email at sgrubermil@registermedia.com or by phone at 515-284-8169. Follow him on Twitter at @sgrubermiller.
This article originally appeared on Des Moines Register: Iowa Senate votes to limit pain and suffering in truck driving lawsuits
