The legal environment for property owners is at an inflection point in the state of Georgia and in many parts of the country. We are seeing an increased frequency of severe events (known as nuclear verdicts) either through insurance carrier settlements or jury awards. This is leading to a dwindling supply of liability insurance while terms and conditions have deteriorated. Due to the imbalance of supply and demand for insurance, costs are skyrocketing. Where is this all going?
On the legal front, Governor Kemp has made legal reform his number one priority during the 2025 GA legislative session. Announced on January 30th at the Capitol, he outlined the many legal variables that are hurting businesses in the state and why. As the bills in the senate (68 & 69) are debated through the legislative process, as a property owner, what can you do to best protect yourself now?
For multifamily owners, I believe setting and adhering to a certain safety standard will help with legal and insurance costs going forward. The state of Florida passed legislation in March of 2023 (House Bill 837) that sets a safety standard in exchange for the mitigation of liability for criminal acts committed on site.
Below are the safety measures required in the bill:
Property Management Best Practices vs. an Adverse Legal Environment
Security Cameras: Installation of high-resolution cameras at all points of entry and exits that must record continuously and store footage securely for at least 30 days to facilitate easy retrieval for law enforcement and security review.
Adequate Lighting: Implementation of automated and energy-efficient lighting systems that ensure all parking lots, pathways, common areas, and building exteriors are well-lit from dusk till dawn.
Locking Mechanisms: Installation of state-of-the-art locking systems, including deadbolts on all entry doors to residential units, window locks, and secured entryways to communal facilities such as pools and gyms.
Peepholes: All main doors to include peepholes or electronic viewing screens to allow residents to verify visitors without opening the door.
Crime Prevention Through Environmental Design (CPTED) Assessment: Regular assessments by certified professionals to evaluate environmental design and ensure that the layout, landscaping, and physical design deter criminal behavior.
These measures will take time to work through the market, but I believe it will create a fair and efficient system for all stakeholders. It will be interesting to see how the bills in the state of GA evolve, but I believe creating a safety standard as a property owner is a best-in-class way to enhance your platform and process now.
