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This is obviously a very complex problem. I think it's very simple minded to point to one area and say "it's all their fault."
The blame lies with the insurance companies, with the doctors making these mistakes, and with the a society that will sue at the drop of a hat.
I don't like any legislation that takes power out of the hands of a court. There is no one-size-fits-all answer to each malpractice suit. Sure, some people are trying to grab money in lawsuits. But there are also cases where the doctor is clearly in the wrong, and deserves the lawsuit.
Lets say I go in to have my tonsils removed, and the doctor performing the operation shows up drunk, and cuts through an artery, causing brain damage. The brain damage is so severe, I can no longer work, and I require costly 24 hr/day care for the rest of my life. My wife and kids depend on me for income to pay the bills, but I can't work any more. Also, my medical bills are shooting through the roof. In such a case, I think I would be well within my rights to sue the doctor for several million dollars to cover my lost earnings, and the expected future health costs. If some legislator pushes through a law that limits it to $200,000 or so, my family is screwed. We lose everything.
There needs to be room for a judge or jury to weigh the damage. It's a fundamental premise that our founding fathers put into the Constitution. They had the forsight to know that you can't write a law that will cover everything, so you need to have a little flexibility.
That's the reason that I am also opposed to mandatory sentencing for criminal acts.
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