On June 3, 2024, Colorado Governor Jared Polis signed HB24-1472 to increase the damages caps for personal injury and wrongful death claims. The law nearly triples the amounts available to plaintiffs, which will continue to increase for inflationary adjustments beginning in 2028 and every two years thereafter. These new damages caps affect not only claims that accrue in 2025 and beyond, but they also change the caps for any civil cases filed on or after January 1, 2025. This law was enacted as a compromise to a ballot measure that would have removed any cap on damages. The new caps are as follows:
- The cap on noneconomic damages for personal injuries will be $1.5 million.
- The cap on noneconomic damages for wrongful death will be $2.125 million.
Plaintiffs are likely to delay filing new actions through the rest of 2024 as long as they are not up against a statute of limitations deadline.
This law also allows a sibling of a decedent (or the sibling's heirs) to file a wrongful death action if the decedent has no surviving spouse, heirs, designated beneficiary, or parents.
We are prepared to vigorously defend insureds against these new damages caps as plaintiffs and their counsel inflate demands due to this new legislation.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.