Big business and insurers’ claims do not hold up under scrutiny. Tort reform will not lower insurance premiums. It will not improve healthcare access, and it will not create a fairer legal system. Instead, it will leave citizens more vulnerable to harm and with fewer tools to seek justice, a former GTLA president writes.

Big business and insurance companies’ advocacy for tort reform in Georgia is built on a foundation of misrepresentations, half-truths and outright lies. Tort reform proponents claim their policies will benefit “everyday Georgia citizens” by reducing costs, improving access to justice and ensuring fairness in the legal system. However, the reality is starkly different. Tort reform erodes the constitutional rights of citizens, disproportionately benefits the rich and powerful and fails to deliver on its promises.

At the heart of this debate lies the Seventh Amendment to the U.S. Constitution, which guarantees the right to a trial by jury, a right that is echoed in Georgia’s Constitution. This is the only mechanism that allows everyday Georgians to stand on equal footing with the wealthy and powerful. Whether it’s holding a negligent corporation accountable, seeking justice against an insurer acting in bad faith or confronting a health-care provider who has caused harm, the civil justice system provides ordinary citizens with a fair shot. Tort reform undermines this system by limiting damages, restricting access to courts and creating procedural barriers that favor big business and insurance companies over individuals.

A common refrain is that tort reform will lower insurance premiums. History—and actual facts—prove otherwise. In states where tort reform has been enacted, insurance premiums have not decreased.

Instead, insurance companies have used these reforms to boost their profits while continuing to raise rates. Georgia is no exception. Over the past two years, insurers have made record profits (in excess of $87 billion in 2023 and higher than that in 2024!), yet premiums for auto, health and property insurance have remained high—or even increased. (David L. Stegall, Georgia Insurance Market Review (Nov. 18, 2024) at 20)

I am a small business owner myself, and I know the sting of high insurance premiums. But, I am smart enough to know that the high premiums have absolutely nothing to do with civil lawsuits.

These are the same insurance companies that have repeatedly been exposed for failing to act in good faith when handling claims in an effort to boost their bottom line. Countless hurricane victims in Georgia, for example, continue to face stonewalling tactics from insurers, leaving their lives in ruins while the companies post record earnings. The narrative that lawsuits are driving insurers out of Georgia is demonstrably false. Insurers are thriving here, and the real pressure they face stems from natural disasters like hurricanes, floods and wildfires—not from lawsuits. In fact, the data provided by the insurance companies themselves reveals a disturbing practice of denying the claims of citizens who file without the assistance of an attorney: Unrepresented claimants in Georgia are 70% more likely to receive no recovery at all despite making up the strong majority of submitted claims-nearly 60%. (David L. Stegall, Analysis of Insurance Commissioner King Report (Nov. 18, 2024). at 3; see also Table 4 p. 17, and Table 14 p. 35 of the John King Report “HB 1114 Data Analysis for Tort Reform”)

Similarly, the argument that tort reform is necessary to keep doctors in Georgia is equally baseless. The number of physicians practicing in Georgia has steadily and consistently increased over the last 30 years going back to 1992, contradicting claims of an exodus. (Bernard S. Black, Analysis of Georgia Medical Malpractice Environment (Nov. 15, 2024) at 3, 16-18) The number of paid claims (>$50,000) against Georgia physicians has dropped by more than 50% over the last 30 years when adjusted for the number of physicians. (Bernard S. Black, Analysis of Georgia Medical Malpractice Environment (Nov. 15, 2024) at 2, 10-11)

The total payouts for claims against Georgia physicians has dropped 50% over the last 30 years when adjusted for the number of physicians. Id. at 2, 11-12. Despite these realities, medical-malpractice premiums have continued to rise, not fall. The truth is that patients face immense challenges in winning these lawsuits, making the claim that verdicts have “run amok” both dishonest and insulting to victims of genuine medical negligence.

Finally, the assertion that lawsuits have spiraled out of control and that jury verdicts are excessive is another falsehood. Civil lawsuits make up a tiny fraction of Georgia’s legal system, and the average size of verdicts has remained consistent over time. In fact, tort lawsuits make up between 13-18% of the total civil filings in Georgia, and this has remained the case for about the last 12 years. (National Center for State Courts, “CSP STAT Civil: Trial Court Caseload Overview, Caseload Detail—Tort, Incoming Five-Year Trend, 2019-2023” (October 2024)) Again, the truth has long been that tort lawsuits are a small part of the civil justice system, and verdicts are no higher today than they have ever been.

These misleading narratives about tort cases serve only to advance the interests of corporations and insurers at the expense of justice for ordinary citizens.

In conclusion, the justification for so-called tort reform is a lie—a thinly veiled attempt to protect the profits of the rich and powerful while stripping everyday Georgians of their constitutional rights. Big business and insurers’ claims do not hold up under scrutiny. Tort reform will not lower insurance premiums. It will not improve healthcare access, and it will not create a fairer legal system. Instead, it will leave citizens more vulnerable to harm and with fewer tools to seek justice. The people of Georgia deserve better than a system that prioritizes corporate profits over their rights and well-being.

Darren Penn, the founder of Penn Law Group in Atlanta, is a trial lawyer who handles tort and business litigation in state and federal courts. He is a past-president of the Georgia Trial Lawyers Association and former chair of the State Bar of Georgia's General Practice & Trial Law Section.