Litigation Patterns in Automobile Bodily Injury Claims 1977-1997: Effects of Time and Tort Reforms

摘要: ABSTRACT This study uses data from the Insurance Research Council to investigate changes in use of attorneys and filing legal claims resolve automobile third-party bodily injury between 1977 1997. We find results consistent with general public perception that have increased over period. In addition, we evidence tort reforms enacted by states slowed rates increase insurance claim disputes. INTRODUCTION Indisputably, U.S. society is viewed throughout world as excessively litigious. reputation goes back at least 1960s early 1970s, when rapidly rising medical professional (malpractice) premiums United States provided initial concern about litigation patterns. Concern was high enough legislators numerous passed a variety "tort reforms," including no-fault laws well limitations on malpractice litigation. intervening years, new liability "crises" encouraged policymakers limit other areas litigation, through placement caps damages, restrictions joint several liability, narrowing situations punitive damages are available. Despite these policy efforts, affordability, availability, difficulties continued, debates actual influence patterns those (see Baker, 2005, who argues caused insurer underwriting decisions rather than underlying claiming patterns). With rich set 1997, can offer input debate observing patterns, influences time. Specifically, test whether or not claimants were more less likely employ file 1997 they 1977. also effects various Our findings indicate significant reducing both claims. When using state identifiers instead, generally opposite results. One possibility correlation passage time has muddled effect either. To disentangle two issues, ran third analysis, interaction years. this effective dampening claims, which might argue venue where most litigiousness occurs. Yet, accounts for half all property-liability sold States. Furthermore, topic sufficient continue pass modifying rules compensating individuals injured accidents. Colorado, instance, reverted system 2003 after many years state. Minnesota considering similar change. place research context, provide brief discussion existing literature second section. section "General Economic Models Litigation Behavior" present models behavior, lead our empirical investigation. The used hypotheses methodology employed presented following section, next final implications suggestions future research. LITERATURE ON LITIGATION PATTERNS Over past three decades, great deal been reported aspects U. …