Rising Stakes: Trends, Verdicts, and the Changing Landscape of Medical Malpractice in the U.S.

A legal professional reviews documents, The growing complexity and financial implications of malpractice cases is challenging the U.S. healthcare system.

Medical malpractice continues to be a critical issue in the U.S. healthcare system, affecting thousands of patients each year and costing billions in legal claims and insurance premiums. While the overall number of malpractice claims has remained relatively stable or even declined in some areas, the size of jury awards and the severity of claims are on the rise, creating new challenges for physicians, hospitals, insurers, and policymakers. From delayed diagnoses to surgical errors and birth injuries, recent high-profile cases have drawn national attention and highlighted the potentially devastating consequences of medical negligence.

This blog explores current trends in medical malpractice, examining notable lawsuits, emerging legal patterns, and the implications for the healthcare industry and patient safety.

High-Profile Cases

Several recent U.S. lawsuits have made headlines for their extraordinary awards. For example, a Florida jury in late 2023 returned a $261 million verdict in the so-called “Take Care of Maya” case against Johns Hopkins All Children’s Hospital for negligent emergency care of a child blogs.the-hospitalist.org. In November 2023, a Westchester County (NY) jury awarded $120 million to a stroke patient whose brain damage followed a delayed diagnosis at Westchester Medical Center tysonmendes.com. Birth-injury cases also produced massive verdicts. In April 2024, a Detroit-area jury awarded $120 million to a mother and her son who suffered severe brain damage from a delayed C‑section detroitnews.com. Other large awards include a $43.5 million verdict in Illinois (an NFL player’s mismanaged knee injury) meyers-flowers.com and a $59.7 million Texas verdict (a paralysis from delayed spinal diagnosis) thefergusonlawfirm.com. These “nuclear verdicts” highlight the potential scale of payouts in modern malpractice cases.

• Florida (Take Care of Maya) – A $261 M jury award in Dec. 2023 for a botched pediatric ER visit blogs.the-hospitalist.org.

• New York (Westchester) – A record $120 M verdict (Nov. 2023) after delayed stroke care left a broker with severe brain injury tysonmendes.com.

• Michigan (Detroit birth injury) – $120 M (Apr. 2024) for a child’s cerebral palsy after an obstetrician delayed emergency C‑section detroitnews.com.

• Illinois (Athlete’s misdiagnosis) – $43.5 M (2023) to former NFL player Chris Maragos for an orthopedic surgeon’s negligence meyers-flowers.com.

• Texas (Spinal injury) – ~$59.7 M (2024) to a man left paralyzed by hospital delay in treating a spinal condition thefergusonlawfirm.com.

These examples, among the largest verdicts of recent years, reflect the shifting litigation climate and set new benchmarks that influence settlement demands nationwide blogs.the-hospitalist.orgblogs.the-hospitalist.org. Attorneys note that even cases that do not reach such sums may prompt higher awards or settlements, as juries and parties often reference outsized verdicts in similar casesblogs.the-hospitalist.org.

Legal and Industry Data

Claims Frequency:  Comprehensive research suggests the overall frequency of filed claims has not spiked in recent years. An AMA analysis of physician survey data found only 1.8% of U.S. doctors were sued in 2022 (down from 2.4% in 2018) ama-assn.org. Likewise, 31% of physicians report having ever faced a claim in their career ama-assn.org. This relatively low incidence is consistent with other studies: the vast majority of malpractice claims never go to trial, and when they do, doctors win roughly 70–80% of the time blogs.the-hospitalist.orgcrcgroup.com. For example, one analysis found 68% of closed claims were dropped or dismissed, with only 7% decided by a jury (and doctors prevailing in 88% of those trials) crcgroup.com.

Claims Severity and Payouts

In contrast to stable claim counts, claim severity and awards have climbed. Analysis of National Practitioner Data Bank (NPDB) records shows that from 2010–2022 the total number of paid claims fell by about 16%, but in 2022 alone claims jumped 17% in count cliffordlaw.com. Notably, small payouts have declined while large payouts have surged. For instance, claims over $1 million rose ~27% from 2010 to 2022 even as sub-$100K payments fell 36% cliffordlaw.com. Similarly, insurance data indicate an explosion of “mega verdicts”: one industry analysis found 57 U.S. malpractice verdicts ≥ $10 million in 2023 – far above any prior year on record blogs.the-hospitalist.org. Insurance executives note that these high-profile verdicts (many well above $25 M) are occurring in more states as caps are overturned blogs.the-hospitalist.org. Overall, the average payout per claim has grown significantly with inflation and higher jury awards.

Insurance Premiums:  Insurers have responded by raising rates. After a long “soft market” in the 2010s, medical liability premiums have risen for six straight years. By 2024, nearly half (49.8%) of reported policies saw a premium increase (vs ~14% in 2018) ama-assn.org. In fact, 16 states saw at least one malpractice premium hike of 10% or more in 2024, up from 11 states the prior year ama-assn.org. The American Medical Association now warns of a possible “hard market” as price increases become widespread again ama-assn.orgama-assn.org. This reflects insurers’ rising claim costs: one insurer reported that the cost of claims is “eating into resources” and that annual malpractice payouts have more than doubled in the last 10–17 years theguardian.com. As premiums rise, hospitals and doctors must weigh higher insurance costs.

Major Claim Types:  Consistent with prior research, the most common malpractice allegations involve diagnostic errors, surgical/operative mistakes, childbirth injuries, and medication errors. Industry analyses note that surgical and diagnostic errors alone account for a large share of claims crcgroup.com. For example, studies of closed claims data have identified diagnostic failures (missed or delayed diagnosis) as the single largest category of paid claims. Obstetrics/gynecology and general surgery remain among the specialties most often sued crcgroup.comama-assn.org. Other frequent claim drivers include failure to screen or follow up (e.g. on test results) and medication management errors crcgroup.com. There are also emerging claim types: lawsuits for abuse or assault by healthcare providers (sexual abuse by doctors, etc.) have surged in recent years, driven by greater awareness and reporting; one high-profile example is a 2022 UCLA settlement of $243.6 M for hundreds of claims of physician sexual abusecrcgroup.com.

Emerging Trends

• “Nuclear Verdicts” and Jury Attitudes:  Insurers report that juries are awarding unprecedented verdicts nationwide. States without a history of huge awards (e.g. Utah, Georgia) are now seeing multimillion-dollar verdicts, partly because old damage caps have been struck downblogs.the-hospitalist.org. Experts attribute this surge to multiple factors: pandemic-era juries may be more skeptical of institutions, plaintiffs’ lawyers are citing record awards as leverage, and hospital consolidation means jurors see big corporations rather than familiar doctorsblogs.the-hospitalist.orgblogs.the-hospitalist.org. Although most mega verdicts are later reduced on appeal or overturned, they set a high bar for settlements and drive up overall costsblogs.the-hospitalist.org.

• Technology & Telehealth Liability:  The rise of telemedicine presents new legal challenges. An estimated 76% of U.S. hospitals now use telehealthcrcgroup.com, meaning many providers treat patients outside the traditional office. This can create jurisdictional uncertainty (Which state’s standards apply?) and documentation issues. Legal analysts warn that telehealth visits may be scrutinized for missed diagnoses or tech failures. Likewise, increasing use of electronic health records and AI-assisted tools raises questions about who is responsible if the technology contributes to an error. (These issues are emerging and under study.)

• Staffing Shortages and Care Settings:  The COVID‑19 pandemic and workforce shortages have strained care quality, especially in nursing homes and emergency departments. Many facilities rely on temporary or agency staffcrcgroup.com, which can reduce continuity of care and increase error risk. As a result, experts expect more litigation over nursing home neglect, elder abuse, and hospital staffing-related errorscrcgroup.com. Indeed, some reports note a spike in claims related to delays or negligence in long-term care.

• Batch Claims and Social Media:  A newer phenomenon is the “batch” or mass tort–style malpractice claim. Social media and news coverage can quickly connect patients with similar injuries, leading multiple claimants to sue the same provider or institution for a common error. For insurers, batch claims (e.g. dozens of women suing one clinic for birth injuries, or a group of patients suing over the same device) magnify potential losses. This trend is still evolving but is cited as a growing concern in underwriting.

• Legal Reforms and Tort Changes:  Legislative and judicial changes continue to reshape malpractice. Several states have rolled back or struck down caps on noneconomic damages, contributing to higher verdictsblogs.the-hospitalist.org. Federal and state policymakers are also debating reforms, such as apology statutes (so doctors can apologize without admissions of guilt) or safe-harbor rules for evidence-based practice. Insurers and healthcare groups are watching these trends closely, as reforms could curb or exacerbate liability exposure in the coming years.

International Perspective

Several other countries report similar challenges. In the UK, for example, costs of clinical negligence are ballooning: by 2024 NHS England had set aside £58.2 billion to cover past malpractice claims theguardian.com. That liability is now the government’s second-largest – ahead of almost all other expenses – and annual damages payouts have more than doubled in the past decade theguardian.com. A UK parliamentary report warned that these soaring costs are “eating into resources available for frontline care,” urging urgent measures to improve patient safety theguardian.com. (Similar pressures are seen in other developed systems: insurers in Australia report rising medical liability costs and steady demand for malpractice coverage apra.gov.au.) These international examples underscore that escalating malpractice costs are not just a U.S. issue, but a global concern in health systems worldwide theguardian.comtheguardian.com.

Types of Malpractice (Prevalent Categories)

Healthcare data consistently show that certain error types dominate malpractice claims:

• Diagnostic Errors: Failure to diagnose (e.g. cancers, heart attacks, strokes) or delays in diagnosis make up a large slice of high-cost claims. For instance, stroke and cancer misdiagnoses are frequently cited in litigation.

• Surgical/Procedure Errors: Wrong-site surgery, surgical complications (e.g. leaving sponges inside, nerve injury) and anesthesia mistakes are common sources of lawsuits. One study found surgical errors in roughly one-quarter of all malpractice suits.

• Birth Injuries (Obstetrics): Obstetric malpractice (e.g. delayed C‑sections, improper forceps use) often leads to severe infant injuries like cerebral palsy. Even though birth injuries are relatively rare, they account for a disproportionate share of large awards (as the Detroit $120M case illustrates detroitnews.com).

• Medication/Pharmacy Errors: Prescription mistakes (wrong drug or dose) and failures to monitor drug effects are another frequent claim type. These include both inpatient medication errors and outpatient prescribing errors (e.g. inadequate counseling on side effects).

• Care Delays & Failures: Suits also arise when providers fail to follow up on test results, discharge patients prematurely, or miss signs of deterioration. Any breakdown in care continuity (for example, poor handoffs in the ED) can become a negligence case.

• Abuse and Assault Claims: While not traditional “medical errors,” accusations of patient abuse by staff or physicians (physical or sexual) have become a notable category. High-profile cases and #MeToo, era awareness have led to large legal actions for historic abuse by medical personnel crcgroup.com.

These categories reflect where patients most frequently suffer harm from negligence, and they guide insurers in risk management. The exact rank order can vary by specialty: OB/GYN and surgery have some of the highest risk, whereas specialties like psychiatry or pediatrics historically see far fewer suits crcgroup.com.

Implications for Providers, Insurers, and Patients

• Providers (Doctors & Hospitals): Rising awards and tougher juries mean providers must invest more in risk prevention. This includes improved safety systems, robust documentation, and communication training. Many hospitals are expanding patient-safety programs and checklists to prevent the most common errors. Doctors may practice more defensively (ordering extra tests or consultations) to reduce litigation risk. However, defensive medicine contributes to higher costs without clear patient benefit. Ultimately, physicians face higher insurance premiums and the possibility of fewer doctors in high-risk specialties or areas if liability trends worsen.

• Insurers (Liability Carriers): Insurers are adjusting to a hardening market. With claim severity up, many have raised rates (as noted, nearly half of policies climbed in 2024 ama-assn.org). Underwriters are demanding stricter risk controls from policyholders (e.g. evidence of safety programs, staffing adequacy). Some insurers may begin to limit coverage or reduce capacity for certain specialties. The prospect of a continued climb in large claims has led companies like The Doctors Company to predict higher costs for providers and caution physicians about escalating risk blogs.the-hospitalist.org.

• Patients: Patients stand to gain from aggressive litigation if they win big awards to cover medical costs and pain. Large verdicts can bring attention and compensation to serious harms. On the other hand, the difficulty of winning malpractice claims remains high: most claims still settle confidentially or get dismissed crcgroup.com. High liability costs also have indirect effects on patients. A portion of malpractice expenses flows into higher healthcare prices (through insurance) or reduced provider availability. For example, insurers warn that spiraling malpractice costs could threaten the viability of certain services (as in the UK example, where payouts “eat into” NHS resources theguardian.com). Patients may also see impacts on care delivery (such as fewer physicians in some specialties or more emphasis on oversight).

In summary, the latest research shows a mixed trend: the frequency of malpractice claims is stable or declining, but the cost and severity of claims are rising sharply. For healthcare providers and insurers, this means tighter budgets and renewed focus on patient safety; for policymakers and patients, it raises questions about ensuring accountability while keeping healthcare affordable. The challenge moving forward will be reducing errors to prevent harms, while managing the growing financial and legal risks of malpractice.

If you, or someone you love, or represent, have been harmed due to a medical error, please reach out to EvaluCare to discuss an independent, trusted, thorough review of medical care. Find out more at: EvaluCare.net