By Mustafa Bilgic · 2026-05-08
Punitive damages punish defendants for malicious or grossly reckless conduct. Beyond compensatory damages, punitive awards can be the difference between a $500K verdict and a $5M verdict. State statutory caps and US Supreme Court constitutional limits both restrict punitive awards.
The US Supreme Court in BMW of North America v. Gore (517 U.S. 559, 1996) and State Farm Mutual Auto Insurance v. Campbell (538 U.S. 408, 2003) established that punitive damages awards must be reviewed for constitutional excessiveness based on three guideposts:
Campbell indicated that "few awards exceeding a single-digit ratio between punitive and compensatory damages, to a significant degree, will satisfy due process." Most state and federal courts now apply a presumption that punitive should not exceed 9-10x compensatory damages, with single-digit ratios preferred.
| State | Punitive cap | Notes |
|---|---|---|
| Alabama | 3x compensatory or $1.5M (greater) | Higher cap for catastrophic injury |
| Alaska | 3x compensatory or $500K (greater) | Higher in product liability |
| Arizona | None (constitutional) | Article 2 §31 prevents legislative cap |
| Arkansas | 3x compensatory or $1M | Subject to constitutional review |
| California | None statutory | Constitutional review per Adams v Murakami |
| Colorado | 1x compensatory (default); 3x for repeat conduct | State law allows enhancement |
| Connecticut | 2x compensatory | Generally limited |
| Florida | 3x compensatory or $500K (greater); 4x or $2M for specific intent | 2023 changes effective |
| Georgia | $250K cap (most cases); none for product liability or DUI | OCGA §51-12-5.1 |
| Idaho | 3x compensatory or $250K (greater) | — |
| Illinois | None statutory; subject to constitutional review | — |
| Indiana | 3x compensatory or $50K (greater) | State and political subdivisions get 25% |
| Kansas | 1.5x compensatory or $5M (lesser) | — |
| Maine | None statutory | — |
| Mississippi | $20M maximum | Sliding scale by net worth |
| Nevada | 3x compensatory if >$100K, else $300K cap | Insurance bad faith uncapped |
| New Jersey | 5x compensatory or $350K (greater) | — |
| New York | None statutory | Constitutional review (Sharkey v Brooklyn Hosp) |
| North Carolina | 3x compensatory or $250K (greater) | NCGS §1D-25 |
| North Dakota | 2x compensatory or $250K (greater) | — |
| Ohio | 2x compensatory; cumulative; small business cap | ORC §2315.21 |
| Oklahoma | 2x compensatory ($500K); 3x for malice (no cap if life endangered) | — |
| South Carolina | 3x compensatory or $500K (greater) | — |
| South Dakota | None statutory | — |
| Tennessee | 2x compensatory or $500K (greater) | None for intentional misconduct |
| Texas | 2x economic damages + non-economic up to $750K (greater) | Higher for specific torts |
| Utah | None statutory | Constitutional review |
| Virginia | $350K cap | VA Code §8.01-38.1 |
| Washington | NOT AVAILABLE except by statute | WA does not generally allow punitive damages |
| Wisconsin | 2x compensatory or $200K (greater) | — |
Some states allocate a portion of punitive awards to state funds (rather than to the plaintiff):
Most states require:
Whether liability insurance covers punitive damages varies by state:
Sources: State statutes, US Supreme Court decisions (BMW v. Gore, State Farm v. Campbell, Philip Morris v. Williams), state appellate court constitutional review decisions.
Last reviewed by Mustafa Bilgic on 2026-05-08. Punitive damages law is updated through legislation and major appellate decisions; verify current state rules.