State of Politics: New ad campaign opposes wrongful death statute expansion

By: Ryan Whelan

The Lawsuit Reform Alliance of New York launched an ad campaign Wednesday in opposition to legislation that would significantly expand the state's wrongful death statute.

Both houses of the New York State Legislature passed a version of the bill, referred to by supporters as the Grieving Families Act, with broad support for the third straight session this year. However, Gov. Kathy Hochul has twice vetoed the legislation citing concerns about impacts on things like insurance premiums, hospitals and municipalities.

The most publicized change to the statute would allow family members who lost loved ones to claim emotional damages. The current law only allows courts to consider future earning potential, which advocates said is unfair to people who have lost young or elderly family members.

The Lawsuit Reform Alliance believes amendments the legislature enacted this year to limit the number and type of family members who can claim benefits and shortens a lookback window did not adequately address its or the governor's concerns. It points to an analysis by actuarial firm Milliman, Inc. projecting a $2.7 billion surge on things like insurance costs, personal auto liability and general liability for small businesses — a number unchanged despite the amendments.

Advocates for the bill, meanwhile, point to data from the National Association of Insurance Commissioners showing premiums and incurred losses have actually dropped significantly in Illinois since that state enacted similar legislation, while the number of insurers offering medical malpractice coverage have increased.

“Polling shows again and again that households throughout New York and around the country are facing an affordability crisis. The last thing we need is another mandate that will decimate the financial stability of struggling families, small businesses, and essential services,” Executive Director of the Lawsuit Reform Alliance Tom Stebbins said. “Hospitals and local governments will be forced to make impossible choices and cut critical services. We cannot afford to let a misguided bill push our healthcare system and already fragile economy to the brink.”

The alliance said the campaign will focus on educating elected officials, local business owners, families, and voters about the "costly consequences." The first ad ran in amNY Metro Wednesday.

The legislature has not yet delivered the bill to the governor. When it does, she will have 10 days to sign or veto it.