Marathon Strategies, an independent public relations firm, has published a report suggesting that tort reform measures in Florida have led to a reduction in the number of nuclear verdicts, defined as jury verdicts exceeding $10 million. The report was released on May 3.
According to the same report, there was a 27% increase in the number of nuclear verdicts across the U.S. in 2023, with the median size of these verdicts rising to $44 million. Between 2009 and 2022, Florida had the second-highest total of nuclear verdicts among all states. However, due to tort reform measures enacted by Gov. Ron DeSantis, it fell to seventh place in 2023.
Last year, Gov. DeSantis signed HB 837 into law with the intention of improving Florida's insurance market, according to a press release. The legislation introduced reforms aimed at reducing excessive litigation that was driving up insurance costs. These included eliminating attorneys’ fee multipliers and establishing uniform standards for juries to calculate accurate medical damages. "I am proud to sign this legislation to protect Floridians, safeguard our economy and attract more investment in our state," said DeSantis at the time.
Marathon Strategies attributes the nationwide surge in nuclear verdicts to several factors including trial attorney tactics such as "anchoring" and the "reptile theory," as stated in their report. The reptile theory involves attorneys attempting to appeal to jurors' emotions while anchoring refers to lawyers suggesting an extraordinarily large award so that this figure becomes "anchored" in jurors' minds. Trial attorneys also try to consolidate similar cases and pursue them in the most favorable litigation jurisdiction possible.
According to a report from Waterstreet Company, the prevalence of nuclear verdicts is causing insurance costs for policyholders to rise. Insurance companies compelled to cover large payouts must increase premium rates across their customer base, resulting in higher costs for all policyholders.
Marathon Strategies is an independent research and communications firm, as stated on the company's website. The team at Marathon includes data analysts, researchers, and attorneys. Phil Singer founded the firm in 2008 after more than two decades of experience in corporate and political communications.