Everyone knows Florida has an insurance problem, but few realize that there is a lack of transparency in damages in our state courtrooms that is a major contributor to inflated premium costs.
Property insurers foot the lawsuit bill for most cases regarding damages, and so objectivity matters when plaintiffs file claims. If a plaintiff sues based on damages done to them, or their property, a reward should not exceed the dollar amount that the plaintiff personally paid. This is common sense.
This is critical for fairness because it ensures that losses be measured objectively. For instance, losses such as emotional suffering can be significant, but they are often difficult to quantify. This can lead to situations where plaintiffs receive large settlements for damages out of proportion to the actual losses suffered.
For instance, if someone’s pet worm is smashed, we all agree that there may be some emotional damage to the owner, but at the end of the day, insurance payouts need to be gauged on some mathematical realities.
Often times trial lawyers use this vague standard of emotional loss to pump up settlement agreements and seek higher damages as a part of lawsuits. Some of the numbers grow so large that they can cause a lawsuit to become frivolous in nature even though the core claim is not in itself frivolous.
Fortunately, this week the Florida Legislature is debating this and other important changes to lawsuit abuse. If we do not reform this process and make the actual damages more transparent for juries, everyone’s health and property insurance will continue to skyrocket to the point that Florida’s economy may simply shut down or crash.
5827 NE 6th Ct
Ocala, Fl. 34479