Trends in insurance litigation, LexisNexis' Lex Machina

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There was an increase in cases involving business liability, business interruptions and non-hurricane homeowners policies, according to LexisNexis company, Lex Machina, which released its 2024 Insurance Litigation Report. The study also indicates that the total number of insurance cases dropped in 2023. 

The report focuses on 2021 through 2023 and includes information about trends in case filings and damages, amid other topics.

"As insurance litigation is particularly diverse and nuanced with a wide variety of underlying claims, it is crucial to be able to hone in on the litigation trends in these different subsets of cases, as we do in this report," said Ron Porter, Lex Machina's insurance legal data expert and editor of the report, in a statement. "By doing so, we gain important data-driven insights into the shifts and patterns in the practice area of insurance litigation. Practitioners can use these insights to sharpen their litigation strategy and advise their clients."

The highest number of insurance cases were filed in Louisiana. Total damages awarded as approved class action settlements were $1.56 billion from 2021 to 2023.

A recent report from Sedgwick, a provider of claims management, loss adjusting and business solutions, analyzed trends in liability claims litigation. Industry data indicates a continued rise in liability litigation and the average cost of new litigated auto bodily injury claims has grown by 64% since 2019, according to Liability Litigation Observations and trends 2024.