Insurance Information Institute reports $42.8B in excess motor vehicle tort litigation

The Insurance Information Institute (Triple-I) announced in a press release that its analysis found $42.8 billion in excess litigation value from motor vehicle tort cases filed in U.S. federal and state civil courts between 2014 and 2023.

Federal courts have experienced a significant increase in tort litigation related to motor vehicles. According to the Federal Judicial Center, tort cases comprised 33.8% of all federal civil filings between 2014 and 2023, compared with just 18.8% during the period from 1994 to 2003. The Insurance Information Institute's analysis estimated that this surge contributed nearly $985 million in excess litigation value, highlighting the scale of legal system pressures.

State courts have borne the brunt of rising tort filings, accounting for the vast majority of cases. Triple-I calculated that approximately five million motor vehicle tort cases were filed in state civil courts between 2014 and 2023, with an excess value of $41.8 billion. According to Triple-I, lawsuits in no-fault states carried higher average amounts in controversy ($725,000) compared to other states ($650,000), illustrating the financial differences tied to legal frameworks.

The broader impact of litigation on insurance markets has been highlighted by actuarial research. A joint study from the Casualty Actuarial Society and Triple-I found that economic and social inflation added $118.9 billion to auto liability insurance costs between 2014 and 2023. Analysts noted that without standardized, transparent state-level court data, it is difficult for regulators to implement effective reforms to reduce costs for consumers.

The Insurance Information Institute is a nonprofit founded in 1960 that provides research and insights on insurance and risk. According to its official website, it represents insurers responsible for nearly half of U.S. property/casualty premiums and publishes influential studies such as its annual research on litigation trends. Now affiliated with The Institutes, Triple-I engages with industry leaders, policymakers, and the public to improve understanding of how insurance markets are shaped by legal and economic pressures.