A bill to amend title 28 of the United States Code, to provide for an exclusive remedy against the United States in suits based upon acts or omissions of United States employees, and for other purposes.

Expands Federal Government liability for the acts of its agents to include tort claims arising under the Constitution or statutes of the United States. Limits recovery for such claims to actual damages and compensation not to exceed $5,000 for general damages.

States that Federal liability for injury, loss of property, personal injury, or death caused by the negligent or wrongful act or omission of a government employee is exclusive and precludes any remedy against agents individually.

Authorizes the Secretaries of Defense and Health, Education, and Welfare, and the Administrator of Veterans' Affairs to provide liability insurance for employees who perform medical functions under employment conditions where the United States would not be liable for such employees' acts.

Declares that upon removal of a civil action from a State court to a U.S. district court, the United States is entitled to all defenses to which it would have been entitled if the action had originally been commenced against the United States under the Federal Tort Claims Act.