Key Takeaways
- Georgia follows a modified comparative negligence system with a 50% bar for fault allocation
- Commercial general liability policies use file and use rate regulation
- Georgia has specific requirements for pollution liability disclosure
- Professional liability insurance is required or recommended for certain licensed professions
- Joint and several liability applies in Georgia with some modifications
Georgia General Liability Insurance
Georgia has specific requirements for general liability insurance that agents must understand.
Modified Comparative Negligence
Georgia uses modified comparative negligence with a 50% bar:
How It Works
- Fault is allocated among all parties
- Damages reduced by percentage of fault
- 50% Rule: If 50% or more at fault, NO recovery
- Joint and several liability applies in some cases
Georgia's 50% Bar vs. Texas's 51% Bar
| State | Bar Rule | At 50% Fault |
|---|---|---|
| Georgia | 50% bar | NO recovery |
| Texas | 51% bar | CAN recover |
Exam Tip: Georgia bars recovery at EXACTLY 50% fault. Texas only bars recovery if MORE than 50% at fault.
Joint and Several Liability
Georgia modified joint and several liability:
| Defendant Fault | Liability Rule |
|---|---|
| Any percentage | Joint and several for entire amount |
| Contribution | Can seek contribution from co-defendants |
| Settlement | Credit for settlements from others |
Commercial General Liability (CGL)
Georgia CGL policies must comply with state requirements:
Required Elements
- Occurrence vs. claims-made coverage clearly disclosed
- Coverage territory defined
- Limits per occurrence and aggregate
- Defense costs—duty to defend
- Pollution exclusion with disclosure
Rate Regulation
Under file and use:
- Rates filed with OCI
- Can be used upon filing
- Subject to post-implementation review
- Must be actuarially justified
Professional Liability
Georgia requires or regulates professional liability for various professions:
State-Mandated Coverage
| Profession | Requirement |
|---|---|
| Attorneys | Must disclose if no coverage |
| Architects | E&O for licensed practice |
| Engineers | E&O for licensed practice |
| Real Estate Agents | Recommended but not required |
| Insurance Agents | Recommended, E&O available |
Medical Malpractice
Georgia has specific medical malpractice laws:
- Affidavit of expert required
- Pre-suit notice requirements
- Damage caps in certain cases
- Insurance requirements for hospitals
Pollution Liability
Georgia has specific pollution liability requirements:
Disclosure Requirements
- Pollution exclusion must be disclosed
- Environmental impairment liability options explained
- Underground storage tank requirements
- Cleanup cost coverage options
Georgia Environmental Laws
- Georgia Hazardous Site Response Act
- EPD (Environmental Protection Division) oversight
- Strict liability for certain hazardous activities
- Site cleanup requirements
Products Liability
Georgia products liability insurance:
Coverage
- Bodily injury from defective products
- Property damage from defective products
- Products-completed operations hazard
- Aggregate limits apply
Georgia Law
- Strict liability for manufacturing defects
- Negligence for design defects
- Statute of repose: 10 years for products
- Comparative fault applies
Punitive Damages
Georgia has restrictions on insuring punitive damages:
Georgia Rule
| Feature | Details |
|---|---|
| Insurability | Generally NOT insurable |
| Public Policy | Punitive damages meant as punishment |
| Exceptions | Vicarious liability situations |
| Coverage | Policy may not cover punitive damages |
Exam Tip: Unlike Texas where punitive damages are generally insurable, Georgia typically prohibits insurance coverage for punitive damages.
How does Georgia's 50% bar differ from Texas's 51% bar?
Are punitive damages generally insurable in Georgia?