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HB 145

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2025-2026 Regular Session Introduced by Scott Hilton and 4 co-sponsors

HB 145 raises damage caps for suing government entities, allowing up to $600,000 per person, enhancing financial recourse for claimants while impacting government budgets.

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Bill Summary · HB 145

Summary of HB 145: Suits Against the Government

Bill Number: HB 145
Introduced: October 10, 2025
Status: Favorable by Civil Justice & Claims Subcommittee
Sponsor: McFarland
Effective Date: October 1, 2026

Purpose and Intent

HB 145 aims to amend the existing laws governing tort claims against the state and its subdivisions by increasing the statutory caps on recoverable damages. The bill seeks to provide greater financial recourse for individuals who successfully sue government entities while also streamlining the claims process.

Key Provisions

Increased Caps on Recovery

  • For Claims Accruing Between October 1, 2026, and September 30, 2031:

    • Increased from $200,000 to $500,000 per person.
    • Increased from $300,000 to $1,000,000 for multiple claims arising from the same incident.

  • For Claims Accruing On or After October 1, 2031:

    • Increased to $600,000 per person and $1,200,000 for multiple claims.

Settlement Authority

  • Allows subdivisions of the state (e.g., counties, cities) to settle claims exceeding the statutory caps without needing legislative approval.

Insurance Policy Changes

  • Prohibits insurance policies from conditioning liability coverage or payment of benefits on the enactment of a claim bill, effective October 1, 2026.

Revised Statutes of Limitations

  • Negligence Claims: Must be filed within two years (previously four years).
  • Contribution Claims: Follow limitations established in existing law.
  • Medical Malpractice/Wrongful Death Claims: Follow existing limitations.
  • Sexual Battery Claims on Minors: Can be filed at any time, but does not revive previously time-barred claims.
  • Other Claims: Must be filed within four years.

Presuit Procedures

  • Reduces the presuit notice period for claimants from three years to 18 months.
  • The time for agencies to dispose of presuit notices is reduced from six months to four months.

Indemnification for Private Vendors

  • Clarifies that private vendors operating correctional facilities must indemnify the state for liabilities up to the sovereign immunity caps.

Impact

Affected Parties

  • Individuals: Claimants seeking damages from government entities will benefit from higher recovery limits.
  • Government Entities: State and local governments may face increased financial liabilities due to higher caps, potentially impacting budgets and services.
  • Insurance Providers: Changes in policy requirements may affect how insurance is structured for government entities.

Fiscal Considerations

  • The bill is expected to have a significant negative fiscal impact on state and local governments due to increased potential payouts for tort claims.

Procedural Timeline

  • October 10, 2025: Bill filed.
  • October 21, 2025: Referred to Civil Justice & Claims Subcommittee, Budget Committee, and Judiciary Committee.
  • October 29, 2025: Added to the Civil Justice & Claims Subcommittee agenda.
  • November 5, 2025: Received a favorable vote from the Civil Justice & Claims Subcommittee.

This summary provides an overview of HB 145, highlighting its intent, key provisions, and potential impacts on various stakeholders.

Compiled from official sources — confirm details with the bill’s official record.

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