(1) In a malpractice action against a health care provider, an injured plaintiff may recover noneconomic losses to compensate for pain, suffering, and inconvenience. The amount of damages awarded for noneconomic loss may not exceed:

1. (a) for a cause of action arising before July 1, 2001, $250,000;
2. (b) for a cause of action arising on or after July 1, 2001 and before July 1, 2002, the limitation is adjusted for inflation to $400,000;
3. (c) for a cause of action arising on or after July 1, 2002, and before May 15, 2010 the $400,000 limitation described in Subsection (1)(b) shall be adjusted for inflation as provided in Subsection (2); and
4. (d) for a cause of action arising on or after May 15, 2010, $450,000.

(2)

1. (a) Beginning July 1, 2002 and each July 1 thereafter until July 1, 2009, the limit for damages under Subsection (1)(c) shall be adjusted for inflation by the state treasurer.

2. (b) By July 15 of each year until July 1, 2009, the state treasurer shall:

   1. (i) certify the inflation-adjusted limit calculated under this Subsection (2); and
   2. (ii) inform the Administrative Office of the Courts of the certified limit.

3. (c) The amount resulting from Subsection (2)(a) shall:

   1. (i) be rounded to the nearest $10,000; and
   2. (ii) apply to a cause of action arising on or after the date the annual adjustment is made.