Georgians for Lawsuit Reform announced on X that it shared a Wall Street Journal article highlighting how Florida's insurance market is stabilizing following reforms aimed at curbing lawsuit abuse.
According to the Wall Street Journal, Florida implemented significant legal reforms to address rampant lawsuit abuse that had been destabilizing its insurance market. These reforms aimed to reduce frivolous litigation, which was driving up insurance costs and leading to insurer withdrawals from the state. The article emphasizes that curbing such litigation has contributed to a more stable insurance environment in Florida.
As reported by the Wall Street Journal, Florida once accounted for nearly 76% of the nation’s homeowners insurance lawsuits while generating just 8% of all U.S. homeowners insurance claims. This disproportionate figure highlighted the extent of litigation abuse in the state. Post-reform, there has been a notable decline in such lawsuits, contributing to the stabilization of the insurance market.
The Wall Street Journal notes that following Florida’s legal reforms, average homeowners insurance rate increases slowed to just 1%—the lowest in the country and below the national inflation rate. Auto insurance rates also dropped for two-thirds of policyholders, with premium reductions ranging from 6% to 10.5%. These outcomes suggest that lawsuit reform can contribute directly to consumer cost savings.
Georgians For Lawsuit Reform is a policy advocacy group focused on improving Georgia’s civil justice system by addressing excessive and abusive litigation. The organization works to promote legal reforms that foster a fairer, more predictable environment for businesses and consumers alike. Its mission includes public education, legislative engagement, and highlighting successful reforms in other states as models for Georgia.