Op-Ed By: Tom Gaitens – Executive Director for Florida Citizens Against Lawsuit Abuse (FL CALA)
Florida has made meaningful progress in restoring balance to its civil justice system, and the results are beginning to speak for themselves. The tort reforms enacted over the past two legislative cycles have helped stabilize a litigation environment that was once driving up costs for businesses, insurers, and ultimately, everyday Floridians.
While no single reform can solve every affordability challenge, these measures have been a critical step toward curbing lawsuit abuse and reining in excessive legal costs.
We are already seeing encouraging signs. Florida’s insurance market is showing renewed stability thanks to tort reform, with 17 new carriers entering the marketplace. Moreover, the state experienced the lowest year-over-year increase in homeowners’ insurance premiums nationwide last year. Insurers that were once in retreat are now showing renewed interest in Florida, signaling growing confidence in the state’s legal and regulatory environment. That kind of predictability is essential for long-term economic stability and investment.
However, there is still more work to do. While prior reforms have helped restore confidence, additional steps are needed to ensure that progress is not undermined.
This past legislative session was a missed opportunity to further balance our legal system. While legislation to address third-party litigation financing (TPLF) was introduced, it failed to gain any momentum. TPLF remains an unregulated force within our legal system, allowing outside investors to fund lawsuits with little transparency or accountability. This practice can prolong litigation, inflate settlements, and pressure costs across the board for consumers, on anything from your family’s grocery bill to auto insurance.
A recent report by the Perryman Group highlights the real-world impact of TPLF on consumer affordability. The analysis finds that the growing use of third-party litigation financing in the courtroom is costing the U.S. economy 454,000 jobs and forcing the average household to pay an additional $502 annually to offset these costs. If lawmakers fail to pass TPLF reform, Floridians will continue to pay the price.
Florida has taken important steps to address the root causes of rising costs, but without addressing TPLF, we are leaving a significant piece of the puzzle untouched. Greater transparency in litigation financing would ensure that all parties understand who is truly backing a lawsuit and what interests may be influencing its verdict. This is not about limiting access to justice; it is about preserving the integrity of the system as a whole.
That is why we urge the Governor to include TPLF reform in an upcoming special session. Building on the success of recent tort reforms, this is a logical and necessary next step.
If Florida is serious about improving affordability—whether in insurance, healthcare, or senior living—we must continue to address the systemic drivers of cost. Florida is on the right path. Now is the time to finish the job.
Tom Gaitens – Executive Director for Florida Citizens Against Lawsuit Abuse (FL CALA)