Floridians for Lawsuit Reform has announced findings from the Insurance Information Institute, which indicate that motor vehicle tort cases have added $42.8 billion in excess litigation costs from 2014 to 2023. This increase is contributing to higher insurance premiums nationwide and highlights the need for reform.
According to the Insurance Information Institute (Triple-I), motor vehicle tort cases filed during this period generated an estimated $42.8 billion in excess litigation value across the United States. Triple-I’s analysis suggests that these inflated litigation costs primarily result from settlements exceeding expected valuations, with the financial impact being passed on to policyholders. The report emphasizes that this ultimately leads to higher auto insurance premiums, with American consumers and businesses “literally and figuratively paying the price.”
Motor vehicle torts now represent a significant portion of the federal civil docket. According to the Administrative Office of the U.S. Courts, tort filings accounted for nearly one-third of all federal civil filings in recent years, demonstrating the scale of litigation activity in this category. Most of these cases resolve through settlements rather than trials, which Triple-I warns often inflate costs and drive up premiums for millions of drivers.
Attorney advertising has emerged as a major driver of increased litigation volume. Reuters reports that U.S. law firms spent a record $1.2 billion on advertising in 2022, with much of that spending concentrated on personal injury and motor vehicle cases. Triple-I argues that this aggressive marketing not only fuels a surge of lawsuits but also creates a cycle where litigation costs increase and insurers raise premiums to cover the added risk.
Floridians for Lawsuit Reform is a nonprofit advocacy organization focused on reducing lawsuit abuse and advancing fairer civil justice policies in Florida. According to its official mission statement, the organization works to protect consumers, safeguard jobs, and ensure litigation promotes accountability rather than excessive costs. By sharing research from groups like Triple-I, Floridians for Lawsuit Reform positions itself as a leading voice for legal transparency and reform in the state.
