One of the chief sponsors of the legislation, Sen. Bill Frist, R-Tenn., said in a statement that the legislation will foster an open, collaborative environment where health professionals can freely share information and analyze it thoroughly.

"Healthcare providers should not be punished for trying to learn from their mistakes, reduce medical errors, and improve the quality of care they deliver to patients," Sen. Frist said.

Other sponsors of S. 2590 include Sens. John Breaux, D-La., Jim Jeffords, I-Vt., and Judd Gregg, R-N.H.

Donald Young, president of the Washington-based Health Insurance Association of America, said the legislation will help transform the current healthcare "culture of blame" to a "culture of safety."

"Fear of lawsuits hangs like a dark cloud over the current system, inhibiting the sharing of essential information," Mr. Young said.

Neil Trautwein, director of employment policy for the Washington-based National Association of Manufacturers, noted an Institute of Medicine report released in 2000 which said that medical errors kill between 44,000 and 98,000 Americans every year.

"That is an outrage to patients, providers and employers," Mr. Trautwein said. "This new legislation will go a long way toward addressing this highly preventable national tragedy."

He said that creating a zone of protection from "rampant medical malpractice litigation" will be more effective in deterring medical errors than lawsuits.