Procaccia was born in Kibbutz Ashdot Ya'akov to Hanan Aynor and Yaffa Puterman-Efrat (Rodstein). She was an only child, and attended public schools in Tel Aviv.
Procaccia served in the Israel Defense Forces between 1959 and 1961. She graduated from the Hebrew University of Jerusalem with an LL.B. degree in 1963 (distinction) and a master's degree in 1969 (distinction). Following her graduation, she served as legal assistant to Chief Justice Simon Agranat for four years. In 1969, she moved to the United States to pursue a Doctor of Juridical Science degree (S.J.D.) at the University of Pennsylvania Law School. Upon her graduation in 1972, she returned to Israel and became the legal assistant to the Attorney General. In 1983, she was appointed legal adviser to the Securities and Exchange Commission of Israel.
In 2001 she was elected to the Supreme Court of Israel where she served until her retirement in 2011.
Procaccia was married to Uriel Procaccia (whom she divorced in 1991) and has two children.