8/13/24
By: Jacob E. Daly
Georgia Governor Brian Kemp made waves at the Georgia Chamber of Commerce Congressional Luncheon in August 2023 when he announced that tort reform would be one of his top priorities during the 2024 session of the General Assembly. At that time, he said, “The laws on our books make it too easy to bring frivolous lawsuits against Georgia business owners which drive up the price of insurance and stop new, good-paying jobs from ever coming to communities that need them the most.” But when the session started in January 2024, Governor Kemp surprised everyone and disappointed many when he announced that he was “recalibrating” his plans because he had decided that his tort reform goals would require a multi-year effort.
To lay the groundwork for this multi-year effort, Governor Kemp pushed the General Assembly to enact the Data Analysis for Tort Reform Act. This Act requires the Commissioner of Insurance to collect data about tort lawsuits and to assess the impact of tort claims on insurance premiums, as well as how tort reform measures might affect those premiums. By November 1, 2024, the Commissioner is required to submit an initial report about his findings to Governor Kemp, the House Insurance Committee and the Senate Insurance and Labor Committee. By November 1, 2029, the Commissioner must submit a report that discusses trends based on the data collected, the effects of tort reform legislation, and additional recommendations for tort reform measures. The Act expires on January 1, 2030.
Governor Kemp spoke again last week at this year’s Georgia Chamber of Commerce Congressional Luncheon, and he reiterated his commitment to comprehensive tort reform for the 2025 legislative session and beyond. He said, “We took the first meaningful steps on this issue this past session by creating a mechanism to gather needed information that will guide the next steps. And as we gather that data, I’m ensuring we listen to all stakeholders.” He also announced that he would go on a listening tour to hear from subject-matter experts and industry leaders. The information obtained by the Commissioner of Insurance and from the listening tour will determine his tort reform agenda for the 2025 legislative session.
Stay tuned for updates as the 2025 legislative session approaches.
Please contact Jacob E. Daly at jdaly@fmglaw.com or your FMG relationship partner to learn more.
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