By Haywood S.B. No. 1817 75R3845 DAK-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to future medical expenses in civil suits. 1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-4 SECTION 1. Subtitle C, Title 2, Civil Practice and Remedies 1-5 Code, is amended by adding Chapter 46 to read as follows: 1-6 CHAPTER 46. FUTURE MEDICAL EXPENSES 1-7 Sec. 46.001. DEFINITIONS. In this chapter: 1-8 (1) "Claimant" means a party seeking recovery of 1-9 future medical expenses, including a plaintiff, counterclaimant, 1-10 crossclaimant, or third-party plaintiff. 1-11 (2) "Defendant" includes any party from whom a 1-12 claimant seeks recovery of future medical expenses. 1-13 Sec. 46.002. SCOPE OF CHAPTER. This chapter applies to any 1-14 civil action in which a claimant seeks future medical expenses. 1-15 Sec. 46.003. EVIDENCE OF FUTURE MEDICAL EXPENSES REQUIRED. 1-16 (a) A court may not enter a judgment that includes an award for 1-17 future medical expenses for the claimant unless the claimant has 1-18 introduced evidence showing that: 1-19 (1) there is a medical condition from which the 1-20 claimant is likely to suffer in the future; and 1-21 (2) the medical condition is likely to require paid 1-22 treatment to relieve or cure the condition. 1-23 (b) The showing required by Subsection (a) may be made by an 1-24 affidavit as provided by Section 46.004 or by other evidence 2-1 introduced at the trial of the case. 2-2 Sec. 46.004. AFFIDAVITS RELATING TO FUTURE MEDICAL EXPENSES. 2-3 (a) Unless a controverting affidavit is filed as provided by this 2-4 section, an affidavit making the showing required by Section 46.003 2-5 is sufficient to support an award by the trier of fact of future 2-6 medical expenses. 2-7 (b) A claimant offering an affidavit to support an award of 2-8 future medical expenses must file the affidavit with the clerk of 2-9 the court and serve a copy on each other party to the case at least 2-10 30 days before the date on which evidence is first presented at the 2-11 trial of the case. 2-12 (c) A defendant intending to controvert an affidavit offered 2-13 by the claimant to support an award of future medical expenses must 2-14 file a counteraffidavit with the clerk of the court and serve a 2-15 copy on each other party or the party's attorney of record: 2-16 (1) not later than the earlier of: 2-17 (A) 30 days after the date the defendant 2-18 receives a copy of the affidavit offered by the claimant; or 2-19 (B) 14 days before the date on which evidence is 2-20 first presented at the trial of the case; or 2-21 (2) with leave of the court, at any time before 2-22 evidence is first presented by the defendant at the trial of the 2-23 case. 2-24 (d) An affidavit or counteraffidavit must: 2-25 (1) be taken before a person authorized to administer 2-26 oaths; and 2-27 (2) be made by a person who is qualified, by 3-1 knowledge, skill, experience, training, education, or other 3-2 expertise, to testify relating to the matter contained in the 3-3 affidavit. 3-4 Sec. 46.005. FORMS OF PAYMENT. (a) A court shall require 3-5 that any future medical expenses awarded in a settlement or 3-6 judgment be paid in the manner provided by this section. 3-7 (b) Subject to this section, the claimant or defendant may 3-8 petition the court to award future medical expenses in the form of: 3-9 (1) an insurance policy; 3-10 (2) annual payments made to an escrow account; or 3-11 (3) a lump sum payment. 3-12 (c) A court may not award future medical expenses in the 3-13 form of a lump sum payment unless it is shown that the expenses 3-14 will be incurred on or before the first anniversary of the date of 3-15 the award. 3-16 (d) If future medical expenses are paid through an insurance 3-17 policy as part of a settlement, the parties shall compute the value 3-18 of the coverage as part of the aggregate value of the settlement. 3-19 (e) A court that approves the payment of future medical 3-20 expenses in the form of annual payments shall provide that: 3-21 (1) the annual payments are to extend over a period of 3-22 five years; 3-23 (2) the payments are made into an escrow account from 3-24 which the claimant may draw to cover medical expenses related to 3-25 the injury; 3-26 (3) the attorney for the claimant manages the account; 3-27 (4) the claimant must provide notice to the defendant 4-1 or a designated representative of the defendant of a claim to draw 4-2 on the account; 4-3 (5) a claim to draw on the account may be disputed as 4-4 provided by Subsection (f); and 4-5 (6) the court may accelerate payments to the escrow 4-6 account on a finding that the claimant's medical condition requires 4-7 accelerated payments. 4-8 (f) The defendant or designated representative of the 4-9 defendant, including an insurance company, may dispute a claim to 4-10 draw from the account before the 31st day after the date the 4-11 defendant or representative receives notice of the claim. The 4-12 defendant or representative of the defendant may contest the claim 4-13 in a district court or by alternative methods of dispute resolution 4-14 agreed to by the parties. 4-15 SECTION 2. This Act takes effect September 1, 1997, and 4-16 applies only to a cause of action that accrues on or after that 4-17 date. An action that accrued before the effective date of this Act 4-18 is governed by the law applicable to the action immediately before 4-19 the effective date of this Act, and that law is continued in effect 4-20 for that purpose. 4-21 SECTION 3. The importance of this legislation and the 4-22 crowded condition of the calendars in both houses create an 4-23 emergency and an imperative public necessity that the 4-24 constitutional rule requiring bills to be read on three several 4-25 days in each house be suspended, and this rule is hereby suspended.