Georgia House of Representatives - 1995/1996 Sessions

HB 109 - Health and liability insurance; statement of policy

Page Numbers - 1/ 2/ 3/ 4

Code Sections - 33-1-17/ 51-12-1

1. Ladd  59th             2. Ehrhart  36th           3. Pinholster  15th
4. Hembree  98th          5. Barnard  154th          6. Brown  130th


House Comm: Ins        /                Senate Comm:            /                                   
House Vote: Yeas       Nays             Senate Vote: Yeas     Nays                                  
              ----------------------------------------                                              
               House          Action         Senate                                                 
              ----------------------------------------                                              
              1/9/95   Read 1st Time                                                                
              1/10/95  Read 2nd Time                                                                
              ----------------------------------------                                              
Rules Suspended to Introduce                                                                        
                                                                                                    
Code Sections amended: 33-1-17, 51-12-1                                                             


HB 109                                            LC 18 6485






                        A BILL TO BE ENTITLED
                               AN ACT


  1- 1  To amend Chapter 1 of Title 33 of the Official Code of
  1- 2  Georgia Annotated, relating to general provisions regarding
  1- 3  insurance, so as to provide a statement of public policy and
  1- 4  purpose regarding health and other insurance; to provide for
  1- 5  definitions; to provide for exceptions; to provide for
  1- 6  compensation, benefits, and other payments and their
  1- 7  declaration; to provide for instructions; to repeal certain
  1- 8  provisions of general law that may conflict; to provide for
  1- 9  applicability; to provide for other matters relative to the
  1-10  foregoing; to repeal conflicting laws; and for other
  1-11  purposes.

  1-12       BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:

                         SECTION 1.

  1-13  Chapter 1 of Title 33 of the Official Code of Georgia
  1-14  Annotated, relating to general provisions regarding
  1-15  insurance, is amended by adding a new Code section at the
  1-16  end thereof, to be designated Code Section 33-1-17, to read
  1-17  as follows:

  1-18    "33-1-17. (Index)

  1-19    (a) The General Assembly finds that in the public
  1-20    interest, it continues to be the responsibility of the
  1-21    state to take measures to contain health insurance and
  1-22    liability insurance costs and thereby provide reasonable
  1-23    assurance of health and liability insurance availability
  1-24    for the benefit of all Georgians.  The General Assembly
  1-25    further finds that one of the ways this objective may be
  1-26    achieved is by the establishment of the principle that
  1-27    only those special damages which will not be satisfied by
  1-28    payments or benefits from supplementary sources as defined
  1-29    by this Code section shall be recoverable by a plaintiff
  1-30    in any civil action, whether in tort or in contract, for
  1-31    the recovery of damages arising from a tortious injury in
  1-32    which special damages are sought to be recovered or
  1-33    evidence of the same is introduced.  In making the



                                 -1- (Index)

                                                  LC 18 6485

  2- 1    determinations authorized in this Code section, the courts
  2- 2    of this state shall consider the double recovery of
  2- 3    damages to be contrary to the public policy of this state,
  2- 4    and this Code section shall be so interpreted and applied.
  2- 5    This Code section shall not be construed so as to create
  2- 6    any new rights of subrogation or liens not previously
  2- 7    existing under the laws of this state.

  2- 8    (b) As used in this Code section, the term:

  2- 9      (1) 'Supplementary sources' means:

  2-10        (A) Medical, dental, hospital, or other similar
  2-11        benefits or payments which are payable by an insurer,
  2-12        a self-insurance plan, an employer, or any other
  2-13        similar benefit plan;

  2-14        (B) Workers' compensation benefits payable under an
  2-15        insurance policy, self-insurance plan, or any other
  2-16        similar benefit plan administered by a state
  2-17        government or the federal government;

  2-18        (C) Wages, salary, disability income, or income
  2-19        replacement benefits or payments payable by an
  2-20        insurer, a self-insurance plan, an employer, or any
  2-21        other similar benefit plan;

  2-22        (D) Rehabilitation or custodial care or job training
  2-23        benefits payable by an insurer, a self-insurance plan,
  2-24        an employer, or any other similar benefit plan; and

  2-25        (E) Medical expenses, disability payments, or other
  2-26        similar benefits or payments which are payable under
  2-27        public benefit programs.

  2-28      For purposes of this Code section, supplementary sources
  2-29      shall not mean life insurance, contributions, gifts, and
  2-30      other gratuitous assistance that have been received by
  2-31      or on behalf of the injured party or for which the
  2-32      injured party is eligible or will become eligible as a
  2-33      result of such tortious injury and shall not include any
  2-34      monetary benefits, compensation, indemnification, or
  2-35      other benefits or payments from supplementary sources to
  2-36      the extent that any provider of such monetary benefits,
  2-37      compensation, indemnification, or other benefits or
  2-38      payments has a valid lien or valid subrogation claim
  2-39      against the recovery and has asserted or indicated its
  2-40      intention to pursue such lien or subrogation claim for
  2-41      those payments which have been made.



                                 -2- (Index)

                                                  LC 18 6485

  3- 1      (2) 'Plaintiff' means a defendant who is a plaintiff in
  3- 2      a counterclaim or cross-claim.

  3- 3    (c) In any civil action, whether in tort or in contract,
  3- 4    for the recovery of special damages arising from a
  3- 5    tortious injury in which special damages are sought to be
  3- 6    recovered or evidence of the same is introduced, evidence
  3- 7    of all monetary benefits, compensation, indemnification,
  3- 8    or other benefits or payments from supplementary sources
  3- 9    of recovery for such special damages and of the costs
  3-10    incurred by the plaintiff in obtaining the same shall be
  3-11    presented to the trial court prior to the commencement of
  3-12    trial so that the trial court can consider the benefits or
  3-13    payments from such supplementary sources which have been
  3-14    or can be used to satisfy each of the special damages
  3-15    sought to be recovered or otherwise introduced, less the
  3-16    costs incurred by the plaintiff in obtaining the same in
  3-17    making a legal determination of the recoverable
  3-18    supplementary sources, provided that evidence of
  3-19    supplementary sources of recovery for future special
  3-20    damages, of the costs incurred by the plaintiff in
  3-21    obtaining the same, and of the likelihood or unlikelihood
  3-22    that such supplementary sources for future special damages
  3-23    will be available in the future shall only be considered
  3-24    by the trial court if shown with a reasonable degree of
  3-25    certainty.

  3-26    (d) At the close of evidence in any civil action governed
  3-27    by this Code section, the trial court shall instruct the
  3-28    trier of fact that it is not required to include any
  3-29    amounts for special damages in any award it may make for
  3-30    the plaintiff, but that in the event it shall decide to
  3-31    make an award for the plaintiff which includes any amounts
  3-32    for special damages, it shall reduce such amounts by the
  3-33    recoverable supplementary sources applicable to each of
  3-34    such special damages which have been determined by the
  3-35    trial court in the manner prescribed by subsection (c) of
  3-36    this Code section."

                         SECTION 2.

  3-37  Article 1 of Chapter 12 of Title 51 of the Official Code of
  3-38  Georgia Annotated, relating to general provisions regarding
  3-39  damages, is amended by striking Code Section 51-12-1,
  3-40  relating to types of damages, evidence admissible in actions
  3-41  involving special damages, and the admissibility of evidence
  3-42  of compensation, benefits, or other payments from collateral



                                 -3- (Index)

                                                  LC 18 6485

  4- 1  sources, and inserting in its place a new Code Section
  4- 2  51-12-1 to read as follows:

  4- 3    "51-12-1. (Index)

  4- 4    (a) Damages may be either general or special, direct or
  4- 5    consequential.

  4- 6    (b) In any civil action, whether in tort or in contract,
  4- 7    for the recovery of damages arising from a tortious injury
  4- 8    in which special damages are sought to be recovered or
  4- 9    evidence of same is otherwise introduced by the plaintiff,
  4-10    evidence of all compensation, indemnity, insurance (other
  4-11    than life insurance), wage loss replacement, income
  4-12    replacement, or disability benefits or payments available
  4-13    to the injured party from any and all governmental or
  4-14    private sources and the cost of providing and the extent
  4-15    of such available benefits or payments shall be admissible
  4-16    for consideration by the trier of fact.  The trier of
  4-17    fact, in its discretion, may consider such available
  4-18    benefits or payments and the cost thereof but shall not be
  4-19    directed to reduce an award of damages accordingly."

                         SECTION 3.

  4-20  This Act shall apply only to causes of action arising on or
  4-21  after July 1, 1995.

                         SECTION 4.

  4-22  All laws and parts of laws in conflict with this Act are
  4-23  repealed.




















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