With society becoming more litigious every day, the premiums for liability insurance increase continually. The cost of court claims and going to court is passed down to consumers in the form of higher premiums. Since businesses also have to pay a higher amount for insurance, consumers pay more for goods and services. The liability system is based on tort law in the United States. Liability insurance covers the costs of the tort or liability in the system. In the 1980s, there were efforts to reduce the cost of litigation. Although most reforms have taken place on a state level, several proposed laws have been overturned by the courts.