Independent Insurance Agents of Georgia (IIAG) announced that Senate Bills 68 and 69 have advanced out of the Senate Judiciary Committee, marking a significant step in the state's tort reform efforts. The announcement was made in a press release on February 12.
According to the legislature, Senate Bill 68 is identified as Georgia's primary tort reform measure, addressing various aspects of civil litigation. Key provisions include reforms to premises liability, truth in medical damages, and seatbelt admissibility in auto accident cases. The bill also limits plaintiffs' attorneys from suggesting large damage amounts to juries. It establishes trial bifurcation, ensuring liability is determined before damages are considered, and eliminates double recovery of attorney fees. Following more than four hours of discussion, the Senate Judiciary Committee approved the bill with an 8-3 vote.
In 2022, Georgia's tort costs totaled nearly $20 billion, representing 2.60% of the state's GDP, according to the U.S. Chamber of Commerce Institute for Legal Reform. On average, this amounted to $5,050 per household, including expenses such as settlements, legal fees, and other litigation-related costs.
The Georgia Public Policy Foundation reports that the growth of third-party litigation funding (TPLF) in Georgia is contributing to higher auto insurance costs by increasing litigation expenses and financial risks for insurers. TPLF enables outside investors to finance lawsuits in exchange for a portion of the settlement or verdict, often leading to larger legal payouts. These rising costs are then transferred to consumers through higher auto insurance premiums.
Founded in 1897, IIAG is described as the state's leading trade association for independent insurance agencies. According to their website, IIAG provides members with resources such as market access, professional development, advocacy, and networking opportunities.