Gov. Kemp pushes for tort reform to combat rising insurance costs in Georgia
Kemp rolls out tort reform proposal
Gov. Brian Kemp unveiled legislation to reform Georgia’s legal system the goal is to limit lawsuits and large jury verdicts in an effort called tort reform. The governor says it is his top priority this legislative session.
ATLANTA - Gov. Brian Kemp is making tort reform a top priority this legislative session, unveiling new legislation aimed at limiting lawsuits and large settlements in an effort to curb rising insurance costs for businesses across Georgia.
Speaking from the State Capitol on Thursday, Kemp emphasized that while Georgia has been ranked the best state for business for nearly a decade, rising insurance premiums are placing a significant burden on hospitals, insurance companies, and small business owners.
Kemp proposes tort reform
What they're saying:
"Small business owners have reported that insurance premiums have increased anywhere from 30% to 100% over the last few years, costing them thousands—if not millions—just to maintain basic coverage," Kemp said. "Some insurance companies have pulled out of the state, leaving businesses with fewer options, while others are spending massive amounts to defend against excessive lawsuits. Ultimately, these rising costs are being passed on to consumers."
Over the past year, state lawmakers and the Georgia Insurance Commissioner have met with affected business owners to better understand these challenges. Many argue that without legal reforms, businesses will continue to struggle with unsustainable costs.
Kemp stressed the urgency of passing tort reform this session, warning that if action is not taken, he may call for a special legislative session later this year to address the issue.
"The people above me, the people around me right now, we cannot afford another year of this," said Gov. Kemp
Hundreds of industry leaders from across the state joined Kemp in a show of support as he unveiled his tort reform package at the state capitol Thursday.
"The current situation with tort and the situation we are facing is really difficult in recruiting doctors and keeping doctors in our state," said Dr. Sandy Duke, Atrium Health Navicent.
"He's listened to small businesses, he’s listened to Georgia companies, he's listened to doctors, he's listened to families out there. He's laid out a very aggressive, but I think a very common sense approach to tort reform today," said Chris Clark, Georgia Chamber of Commerce.
"This is not a pro-lawyer bill, this is not, this is not a pro-big insurance company bill, this is a pro-Georgia consumer bill," said Lt. Gov. Burt Jones.
Gov. Kemp unveils tort reform plan
Gov. Brian Kemp is making tort reform a top priority this legislative session in Georgia.
Georgia Democrats oppose governor's plan
The other side:
Democratic lawmakers held a separate press conference following the governor’s announcement, signaling a likely debate over the potential impact of tort reform on consumer rights.
"What this is today is to protect insurance companies. Understand that," said state Sen. Harold Jones II, D-Augusta. "Citizens who are meeting right now in the jury room. They are the ones who say you have been harmed, but we are throwing that aside because the insurance industry said that's enough. We don't want to do that anymore. We don’t want to follow the law anymore, we want to rig the game in our favor."
What does tort reform do?
What we know:
Tort reform laws typically aim to:
- Cap the amount of compensation a plaintiff can receive in a lawsuit.
- Make it more difficult to obtain a trial by jury.
- Restrict a plaintiff’s right to file a lawsuit, often by shortening the statute of limitations or increasing legal hurdles.
Arguments in favor of tort reform
What they're saying:
Proponents argue that tort reform can:
- Boost the economy by protecting businesses from costly litigation.
- Reduce accidental deaths by discouraging risky behavior through legal clarity.
- Improve access to healthcare by lowering malpractice insurance costs for doctors.
Concerns and criticisms
The other side:
Opponents believe tort reform can:
- Prevent severely injured individuals from receiving adequate compensation.
- Fail to deliver on promised benefits, as there is little evidence that tort reform has significantly created jobs or reduced overall costs.