2026 Nevada Revised StatutesChapter 42 – DamagesNRS 42.021 Actions based on professional negligence of providers of health care: Introduction of certain evidence relating to collateral benefits; restrictions on source of collateral benefits; payment of future damages by periodic payments.

Statutory Text

1.  In an action for injury or death against a provider of health care based upon professional negligence, if the defendant so elects, the defendant may introduce evidence of any amount payable as a benefit to the plaintiff as a result of the injury or death pursuant to the United States Social Security Act, any state or federal income disability or worker’s compensation act, any health, sickness or income-disability insurance, accident insurance that provides health benefits or income-disability coverage, and any contract or agreement of any group, organization, partnership or corporation to provide, pay for or reimburse the cost of medical, hospital, dental or other health care services. If the defendant elects to introduce such evidence, the plaintiff may introduce evidence of any amount that the plaintiff has paid or contributed to secure the plaintiff’s right to any insurance benefits concerning which the defendant has introduced evidence.

2.  A source of collateral benefits introduced pursuant to subsection 1 may not:

(a) Recover any amount against the plaintiff; or

(b) Be subrogated to the rights of the plaintiff against a defendant.

3.  In an action for injury or death against a provider of health care based upon professional negligence, a district court shall, at the request of either party, enter a judgment ordering that money damages or its equivalent for future damages of the judgment creditor be paid in whole or in part by periodic payments rather than by a lump-sum payment if the award equals or exceeds $50,000 in future damages.

4.  In entering a judgment ordering the payment of future damages by periodic payments pursuant to subsection 3, the court shall make a specific finding as to the dollar amount of periodic payments that will compensate the judgment creditor for such future damages. As a condition to authorizing periodic payments of future damages, the court shall require a judgment debtor who is not adequately insured to post security adequate to assure full payment of such damages awarded by the judgment. Upon termination of periodic payments of future damages, the court shall order the return of this security, or so much as remains, to the judgment debtor.

5.  A judgment ordering the payment of future damages by periodic payments entered pursuant to subsection 3 must specify the recipient or recipients of the payments, the dollar amount of the payments, the interval between payments, and the number of payments or the period of time over which payments will be made. Such payments must only be subject to modification in the event of the death of the judgment creditor. Money damages awarded for loss of future earnings must not be reduced or payments terminated by reason of the death of the judgment creditor, but must be paid to persons to whom the judgment creditor owed a duty of support, as provided by law, immediately before the judgment creditor’s death. In such cases, the court that rendered the original judgment may, upon petition of any party in interest, modify the judgment to award and apportion the unpaid future damages in accordance with this subsection.

6.  If the court finds that the judgment debtor has exhibited a continuing pattern of failing to make the periodic payments as specified pursuant to subsection 5, the court shall find the judgment debtor in contempt of court and, in addition to the required periodic payments, shall order the judgment debtor to pay the judgment creditor all damages caused by the failure to make such periodic payments, including, but not limited to, court costs and attorney’s fees.

7.  Following the occurrence or expiration of all obligations specified in the periodic payment judgment, any obligation of the judgment debtor to make further payments ceases and any security given pursuant to subsection 4 reverts to the judgment debtor.

8.  As used in this section:

(a) “Future damages” includes damages for future medical treatment, care or custody, loss of future earnings, loss of bodily function, or future pain and suffering of the judgment creditor.

(b) “Periodic payments” means the payment of money or delivery of other property to the judgment creditor at regular intervals.

(c) “Professional negligence” means a negligent act or omission to act by a provider of health care in the rendering of professional services, which act or omission is the proximate cause of a personal injury or wrongful death. The term does not include services that are outside the scope of services for which the provider of health care is licensed or services for which any restriction has been imposed by the applicable regulatory board or health care facility.

(d) “Provider of health care” means a physician licensed under chapter 630 or 633 of NRS, dentist, licensed nurse, dispensing optician, optometrist, registered physical therapist, podiatric physician, naprapath, licensed psychologist, chiropractic physician, doctor of Oriental medicine, holder of a license or a limited license issued under the provisions of chapter 653 of NRS, medical laboratory director or technician, licensed dietitian or a licensed hospital and its employees.

(Added to NRS by 2004 initiative petition, Ballot Question No. 3; A 2011, 1511; 2019, 2710; 2023, 1684)

NV Rev Stat § 42.021 – Last Verified March 2026

Plain English Explanation

Nevada Revised Statute 42.021 is a law that sets specific rules for lawsuits involving medical malpractice. It covers three main areas: what financial evidence can be shown in court, how large future damages get paid out, and what happens if a payment schedule is not followed.

The Collateral Benefits Rule

If you sue a doctor or hospital for professional negligence and you already received money from another source to cover your losses, the defendant can bring that up in court. For example, if your health insurance or worker’s compensation already paid some of your medical bills, the defense can present that information to the jury. If the defense does bring it up, you are then allowed to show how much you personally paid in premiums or contributions to get those benefits in the first place.

There is an important protection built into this rule though. Whatever outside source paid those benefits cannot turn around and sue you to get that money back. They also cannot step into your shoes and take over your lawsuit against the healthcare provider. The law essentially cuts off those reimbursement rights entirely.

How Large Payouts Are Handled

When a jury awards at least $50,000 in future damages, either side can ask the judge to have that money paid out over time through scheduled periodic payments instead of one big lump sum. Future damages are things like ongoing medical care, lost future earnings, loss of bodily function, or continued pain and suffering.

The court has to be very specific when setting up that payment schedule. The judgment must name who gets the payments, how much each payment is, how often they come, and for how long. If a healthcare provider or hospital does not have enough insurance to guarantee those payments, the court can require them to post security as a financial guarantee.

What Happens When Someone Dies During a Payment Schedule

If the person receiving payments passes away, the payments do not simply stop. Any money owed for lost future earnings must still be paid to the people that person was legally required to support before their death. A court can modify the original judgment to fairly distribute whatever future damages remain to those dependents.

Consequences for Missing Payments

If the party making payments consistently fails to follow the schedule, the court treats that as contempt of court. On top of having to catch up on missed payments, they can also be ordered to pay all damages caused by the missed payments, including court costs and attorney fees.

Once every scheduled payment has been made and all obligations are completed, the payment duty ends and any posted security is returned to the party who put it up.

Frequently Asked Questions About NRS 42.021

What is the minimum amount required for periodic payments in a Nevada medical malpractice case?

The future damages award must equal or exceed $50,000 for a court to order periodic payments. If the total future damages fall below that threshold, the defendant would typically pay the full amount as a lump sum. Either the plaintiff or the defendant can request the periodic payment structure once that $50,000 mark is reached.

Can my health insurance company sue me to get back what they paid after I win a medical malpractice case?

No. Under NRS 42.021, any insurance company or other outside source that paid your medical bills cannot recover that money from you after your lawsuit, nor can they take over your legal claim against the healthcare provider. Nevada law specifically eliminates those subrogation rights in professional negligence cases where collateral benefit evidence is introduced.

What counts as a “provider of health care” under this law?

The statute covers a broad range of licensed professionals including medical doctors, dentists, nurses, optometrists, physical therapists, psychologists, chiropractors, podiatric physicians, and licensed hospitals along with their employees. The key requirement is that the person must have been acting within the scope of their license at the time of the negligent act.

What happens to my scheduled payments if I pass away before they are all paid out?

Payments tied to lost future earnings do not simply stop. Those remaining payments must be redirected to anyone you were legally obligated to support before your death, such as minor children or a dependent spouse. A court can reopen the original judgment to adjust and distribute those remaining funds accordingly.

What can a court do if the defendant keeps missing scheduled payments?

If a court finds a continuing pattern of missed payments, it can hold the defendant in contempt of court. Beyond just ordering the missed payments to be made up, the court can also require the defendant to pay any additional damages caused by the failure to pay on time, which can include court costs and attorney fees. The law treats repeated nonpayment as a serious violation rather than a simple oversight.

If you believe you have a case involving medical malpractice and want to explore whether you are entitled to damages, the experienced team at Wooldridge Law Injury Lawyers is ready to fight for every dollar you deserve. Reach out today for a free consultation and let them put their knowledge of Nevada law to work for you.