Doctor amputates the wrong leg. How much in compensation is that worth in your mind? There should never be an award more than 250k? I disagree. My wife is a psychiatrist that works in patient. She got a transfer from another hospital who was on 32 drugs. That's clear negligence and should be a malpractice suit but no lawyer will take the case. It's not clear cut enogh. In recent years the pendulum has swung in the other direction. There isn't enough access to the court system for patients wronged by the medical community.

So lawyers demanding 250k for malpractice is what's causing malpractice? OK...

Next you're going to be blaming the patients.

Defensive medicine is incredibly expensive and produces worse results, so while I wouldn't blame lawyers solely. there are much better ways of doing things imho. New Zealand's Accident Compensation scheme is one way - far from perfect, but far better.