Georgia governor signs laws on litigation funding, premises liability

Georgia Governor Brian Kemp signed two pieces of legislation Monday, changing the civil justice system in the state, which insurers have welcomed.

SB 68 revises provisions regarding civil practice, damages, evidence and liability. The legislation addresses premises liability, requiring plaintiffs suing business owners for injuries occurring on their property to show that the owner knew of the risk.

SB 69 regulates third-party litigation funding by requiring financiers to register with the state and prohibits entities affiliated with foreign countries from serving as litigation financiers.

The American Property Casualty Insurance Association issued a statement Tuesday, applauding the laws, saying they “restore balance and fairness to Georgia’s legal system.”

The group said increased litigation can drive up claims costs, and that similar legislation passed in Florida has positively affected the state’s litigation environment and insurance rates.

“The success in Georgia will help generate more positive momentum as other states look to address legal system abuse to help improve insurance affordability and availability and restore fairness to our courts,” APCIA said in the statement.