Dear Montana clients,

We have great news to share. House Bills 195 and 342 have officially passed! Working hand‑in‑hand with the Montana Medical Association and our retained legislative advocates, Curi spearheaded this effort to preserve Montana’s non‑economic damage caps and protect an evidence‑based standard of care.

We encourage you to review the bills in full (House Bill 195 and House Bill 342); however, we've outlined some important takeaways on how the new bills impact medical professionals and the healthcare system. Below is a summary of what each bill delivers.

House Bill 195 - Non-Economic Caps  

What the bill does

Raises the cap on “non-economic damages” awards in medical‑malpractice cases

How it works

The old flat $250 k ceiling is replaced by a higher, steadily rising limit on noneconomic damages (which include pain, emotional distress, or loss of companionship).

New dollar limits

• $300 k March 27, 2025
• $350 k on Jan 1, 2026
• $400 k on Jan 1, 2027
• $450 k on Jan 1, 2028
• $500 k on Jan 1, 2029

Starting Jan 1, 2030, the cap rises automatically by 2 % of the prior year’s limit every year (state courts will publish the updated number each January).

Applies per patient, per incident

If one incident impacts three unrelated patients, each patient can still recover up to the full cap for their own injuries and has a separate cap.

Which cap applies

The limit in force on the day the claim is first filed (with the Montana Medical‑Legal Panel or, if that step isn’t required, in court).

If a jury verdict is higher than the cap

The judge must limit the verdict to the cap. Future non-economic damages are cut first, then past non-economic damages if needed.

Juries never hear the cap

The dollar limit is not disclosed to the jury so it does not influence liability findings.

Bottom line: House Bill 195 keeps Montana’s malpractice cap and modernizes it—starting an immediately effective raise in the cap to $300 k and then stepping up to keep pace with inflation—while laying out clear rules on when and how the limit is applied.

House Bill 342

• What the bill says: In medical‑malpractice lawsuits, doctors and other medical providers must follow the same “reasonable standard of care” that already applies today. This bill was necessary because a recent MT Supreme Court case changed that long-standing standard to what the provider “should have foreseen” for a particular risk, creating a higher or different duty than that standard. House Bill 342 resets and maintains the long-standing standard.
• When it takes effect: It became law on May 1, 2025.
• Cases it covers: It applies to malpractice suits filed on or after that effective date and is meant to override any past court decisions that suggested otherwise.

Thank you for your continued support and engagement as we remain committed to you and the healthcare industry. 

If you have any questions or need further clarification on how the bills might affect you or your practice, please reach out to your Curi representative. 

Best, 

Nicholas Ghiselli
GENERAL COUNSEL, CURI INSURANCE
o: 800-328-5532  |  w: curi.com