• Home
  • Politics
  • Health
  • World
  • Business
  • Finance
  • Tech
  • More
    • Sports
    • Entertainment
    • Lifestyle
What's Hot

17 Performances in 2½ Hours

May 17, 2026

Colin Jost Reveals The Rejected ‘SNL’ Joke That Hegseth Then Did ‘For Real’ Anyway

May 17, 2026

Vir Biotechnology Stock Has Doubled This Past Year. One Fund Just Bought 1.2 Million Shares

May 17, 2026
Facebook Twitter Instagram
  • Contact
  • Privacy Policy
  • Terms & Conditions
Sunday, May 17
Patriot Now NewsPatriot Now News
  • Home
  • Politics

    Sen John Kennedy Says Only ‘God’s Perfect Idiot’ Would Have Thought Bill Cassidy Could Survive Louisiana Primary

    May 17, 2026

    Pete Buttigieg Totally Wrecks Trump Transportation Secretary Sean Duffy

    May 17, 2026

    ‘What Is Not Ready?’: Maria Bartiromo Presses Acting AG On Probe Into Trump-Russia Hoax

    May 17, 2026

    Tech Overlords Beat Out George Soros In Midterms Spending

    May 17, 2026

    Cassidy’s in the fight of his political life

    May 17, 2026
  • Health

    The hantavirus outbreak is prompting Covid flashbacks

    May 17, 2026

    WHO Declares Ebola Outbreak A Public Health Emergency Of International Concern

    May 17, 2026

    WHO declares Ebola outbreak a global public health emergency

    May 17, 2026

    What’s Behind The ‘Ghostlighting’ Dating Trend

    May 17, 2026

    Ebola Spread Undetected In Eastern Congo For Three Weeks

    May 17, 2026
  • World

    Colin Jost Reveals The Rejected ‘SNL’ Joke That Hegseth Then Did ‘For Real’ Anyway

    May 17, 2026

    Anti-American Coalition Derailed by Iranian Bombing

    May 17, 2026

    David Letterman Sends Off Colbert With Wild Stunt And R-Rated Message To CBS

    May 17, 2026

    China-Boeing Deal Begins with 200 Planes, Potential for 550 More

    May 17, 2026

    Trump Calls New York Times Reporter ‘Treasonous’ For Questioning Success Of Iran War

    May 17, 2026
  • Business

    The Hidden ‘Tax’ That’s Bleeding Your Wallet Dry

    May 17, 2026

    As Britain And France Try Prying Hormuz Open With Their Own Crowbars, Uncle Sam Forms New Coalition

    May 15, 2026

    American Households Financially Underwater Like Never Before

    May 15, 2026

    Another Key Inflation Measure Blows Past Forecasts

    May 13, 2026

    Prices Skyrocket To Highest Level In Years As Fallout From Iran War Continues Ravaging Economy

    May 12, 2026
  • Finance

    Vir Biotechnology Stock Has Doubled This Past Year. One Fund Just Bought 1.2 Million Shares

    May 17, 2026

    One of the market’s hottest trades is everything AI can’t replace

    May 17, 2026

    Retiring at 62 With $1.6 Million Means Confronting a $96,000 Healthcare Gap Most Calculators Skip

    May 17, 2026

    AI-related layoffs a boost for stocks? Not necessarily

    May 17, 2026

    Lincoln National (LNC) – Among the 10 Best Dividend Stocks with 5%+ Yields and Growing Cash Flows

    May 17, 2026
  • Tech

    50 Waymo Self-Driving Cars Circle Atlanta Neighborhood for Hours at a Time

    May 17, 2026

    FCC Investigating Potential Fraud in E-Rate Program in Minnesota

    May 17, 2026

    Pope Creates AI Study Group in Preparation For First Encyclical

    May 16, 2026

    Left-Wing Tech Billionaires Are Paying the Full Salaries of Dozens of ‘Journalists’ at Top Media Companies

    May 16, 2026

    U.S. Manufacturing Boosted by AI-Driven Tech Surge

    May 16, 2026
  • More
    • Sports
    • Entertainment
    • Lifestyle
Patriot Now NewsPatriot Now News
Home»Business»The Hidden ‘Tax’ That’s Bleeding Your Wallet Dry
Business

The Hidden ‘Tax’ That’s Bleeding Your Wallet Dry

May 17, 2026No Comments7 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
The Hidden ‘Tax’ That’s Bleeding Your Wallet Dry
Share
Facebook Twitter LinkedIn Pinterest Email

Americans may be paying a hidden “lawsuit tax” through higher insurance premiums and higher prices for everyday goods, as trucking companies face rising litigation costs from staged crashes, massive settlements and “nuclear verdicts.”

Industry groups and lawsuit abuse critics told the Daily Caller News Foundation that costs from frivolous lawsuits and rising settlements are being passed down to consumers through elevated insurance premiums, higher transportation costs and inflated prices for everyday goods. They argue those costs are especially hitting the trucking industry, where rising commercial insurance premiums can ripple through freight rates, grocery bills, consumer goods and even personal auto insurance premiums.

“Abusive litigation practices against the trucking industry are driving up costs for consumers, destroying small businesses, and undermining public safety.” Henry Hanscom, American Trucking Association’s (ATA) chief advocacy & public affairs officer, told the DCNF.

Congress Takes Notes

The number of filed cases involving tractor-trailers has increased at an annual rate of 3.7% between 2014 and 2023, according to a study by the American Transportation Research Institute. This comes as the personal injury market size rose 2.5% CAGR between 2020 and 2025, according to IBIS World.

Auto insurance premiums have been rising since February 2020, and insurance premiums have soared by 55%, according to NPR.

The Surface Transportation Reauthorization Act is set to expire in September and is considered must-pass legislation, as it sets federal transportation funding and policy. ATA supports including several lawsuit-abuse measures in the package or another legislative route, though it remains unclear if lawmakers will include those reforms in the final bill.

ATA Chairman Greg Hodgen and a group of trucking industry members met with both the House and Senate Judiciary Committees in April to discuss lawsuit abuse targeting the industry, including staged accidents, forum shopping, third-party litigation funding and frivolous lawsuits, Hanscom told the DCNF. (RELATED: Are We Approaching The End Of The Road For America’s Truckers?)

After hearing about the surge in staged crashes and the roughly $4,200 a year it adds to the average family’s costs, House Judiciary Committee Chairman Jim Jordan said he wants to take a closer look at it.

See also  Yen surges on BOJ's remarks; dollar eases ahead of US inflation

A spokesperson from Jordan’s office confirmed to the DCNF that the Representative’s office is “looking into it.”

AUSTIN, TEXAS – JULY 26: An aerial view of vehicles travelling along Interstate 35 on July 26, 2024 in Austin, Texas. The Insurance Research Council has released data showing, people driving without auto insurance rose 11% in 2019 to 14% in 2022. The average annual cost of full-coverage auto insurance has spiked 12% according to Bankrate. (Photo by Brandon Bell/Getty Images)

‘Hits Consumers’

In October 2025, Georgia Republican Rep. Mike Collins introduced the Lawsuit Abuse Reduction Act of 2025, which aims to reduce frivolous suits in federal courts by imposing mandatory sanctions on attorneys who file them. It ends the 21-day “safe harbor” rule that allows attorneys to withdraw frivolous filings in that timeframe without consequences.

The bill has gained support from the U.S. Chamber of Commerce and is pending before the House Judiciary Committee.

A similar version of the legislation was introduced in 2017, but it ended up dying in the Senate Judiciary Committee after passing the House.

The bill faced strong opposition from the American Bar Association (ABA) and the American Association for Justice (AAJ), where the two spent over $7 million lobbying in 2017, according to Open Secrets.

In September 2025, Congress introduced the FAIR Trucking Act, legislation that seeks to curb “nuclear verdicts” against the trucking industry. Nuclear verdicts are high jury awards in personal injury cases that can exceed $10 million, and can lead to bankruptcy for freight carriers. Nearly 80% of trucking-related verdicts exceed $1 million, according to an American Transportation Research Institute (ATRI) report.

Since the introduction of the FAIR Trucking Act, the AAJ has lobbied heavily against the measure, according to lobbying reports obtained by the DCNF.

See also  REPORT: Tax Revenue is Plummeting in Democrat Strongholds Like California and New York | The Gateway Pundit | by Mike LaChance

“The insurance industry raked in $169 billion in profits in 2024 while denying Americans’ claims after catastrophic events and jacking up rates for policyholders year after year,” AAJ spokesperson Heather Sager told the DCNF. “So, it’s no surprise they’re trying to point the finger at anyone willing to hold them to account.”

“This is a tale as old as time — for decades, corporations who can’t justify their treatment of American consumers attempt to blame those holding them accountable while pushing legislation that would shield them from accountability,” Sager added.

The risk of litigation is negatively affecting freight industry insurance, where settlements frequently reach millions of dollars. In 2025, some trucking companies experienced premium increases of 20-30% in just one year, according to FreightWaves.

On Thursday, the Supreme Court declined to limit freight broker liability in the Montgomery v. Caribe Transport case, which addressed whether freight brokers can be sued under state law for hiring unsafe motor carriers, leaving business groups warning that shipping companies could face a patchwork of state liability rules.

“Without a uniform standard, every small business who uses a trucking company will be hit with higher costs and reduced availability as the resulting patchwork of rules and risk ricochets through the supply chain,” Beth Milito, vice president and executive director of NFIB’s Small Business Legal Center, said in a press release following the decision.

The ruling leaves freight brokers facing state-by-state liability risks that could drive up insurance and shipping costs across the supply chain.

Hanscom said rising litigation costs have driven up commercial auto insurance premiums across the trucking industry, with liability insurance premiums increasing 18.6% between 2021 and 2024, “outpacing consumer inflation,” even as heavy-duty truck crash rates declined by as much as 3.1%.

“These soaring insurance costs year-over-year are putting enormous financial strain on trucking companies at a time when the industry is grappling with a prolonged freight recession,” he said. “It’s pushing many motor carriers to the brink.”

See also  Biden Vowed To Protect American Steel — But Another Effort Of His Could Destroy It

The trucking industry moves roughly 70% of U.S. goods, meaning higher freight insurance costs can spill over to consumers. Over the next decade, litigation is expected to contribute 15% of the inflation in food costs, according to the U.S. Chamber of Commerce Institute for Legal Reform.

Photo by Justin Sullivan/Getty Images

In an aerial view, brand new Volvo trucks are displayed at TEC Equipment on September 26, 2025 in Dixon, California.  (Photo by Justin Sullivan/Getty Images)

The proposals include legislation that seeks to target staged highway accidents involving commercial trucks, forum shopping, frivolous lawsuits and third-party litigation funding.

The AAJ, the largest trial bar association, acting as the leading advocacy and lobbying organization for plaintiffs’ attorneys, stated that insurance companies and corporations are attempting to shift the blame for rising premium costs.

“Lawsuit abuse against the trucking industry hits consumers in two ways,” Hanscom told the DCNF. “Since virtually every good travels on the back of a truck at one point in time, increases in freight transportation costs are reflected in the cost of goods.”

Hanscom added that rising premiums in the commercial auto sector also “put upward pressure on the consumer auto insurance market.”

In 2023, Republican Florida Gov. Ron DeSantis signed HB 837 into law, aiming to reduce frivolous lawsuits and insurance litigation by altering negligence standards, all in an attempt to combat high premiums.

The effects of the reform were felt rapidly, as the top five auto insurance groups saw an average rate decrease of 6.5%, according to the Florida Office of Insurance Regulation.

As insurance premiums skyrocket nationwide, states are now signaling similar reforms to tort laws, including New York, where insurance rates rank among the fourth-highest in the nation.

“You can have a situation where someone causes the accident intentionally and gets a huge personal injury payout. So we’re putting the brakes on that fraud. Enough is enough here in the State of New York,” Democratic New York Gov. Kathy Hochul said in a statement released in February.

“We’ll start by reforming our tort laws to protect people who play by the rules and insulate the personal injury system from abuse,” Hochul added.

All content created by the Daily Caller News Foundation, an independent and nonpartisan newswire service, is available without charge to any legitimate news publisher that can provide a large audience. All republished articles must include our logo, our reporter’s byline and their DCNF affiliation. For any questions about our guidelines or partnering with us, please contact licensing@dailycallernewsfoundation.org.

Bleeding dry Hidden tax Wallet
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Jim Cramer spots hidden upside in a surging chip stock

May 16, 2026

As Britain And France Try Prying Hormuz Open With Their Own Crowbars, Uncle Sam Forms New Coalition

May 15, 2026

American Households Financially Underwater Like Never Before

May 15, 2026

UFC’s Dana White urges Trump to reverse gambling tax law

May 14, 2026
Add A Comment

Leave A Reply Cancel Reply

Top Posts

Sean Payton Walks Back Harsh Criticism of Nathaneal Hackett, Jets

July 28, 2023

US Economic Growth Slows Down Massively, Well Below Expectations

April 25, 2024

How ASEAN Can Win Its War Against Illegal and Unregulated Fishing

August 17, 2023

‘A Huge Mistake’: Former Trump Official Says ‘Too Much Woke,’ Lack Of ‘Economic Agenda’ Hurting DeSantis

June 2, 2023
Don't Miss

17 Performances in 2½ Hours

Entertainment May 17, 2026

Ella Langley has conquered not just the country world but the music world generally this…

Colin Jost Reveals The Rejected ‘SNL’ Joke That Hegseth Then Did ‘For Real’ Anyway

May 17, 2026

Vir Biotechnology Stock Has Doubled This Past Year. One Fund Just Bought 1.2 Million Shares

May 17, 2026

Sen John Kennedy Says Only ‘God’s Perfect Idiot’ Would Have Thought Bill Cassidy Could Survive Louisiana Primary

May 17, 2026
About
About

This is your World, Tech, Health, Entertainment and Sports website. We provide the latest breaking news straight from the News industry.

We're social. Connect with us:

Facebook Twitter Instagram Pinterest
Categories
  • Business (4,362)
  • Entertainment (4,555)
  • Finance (3,405)
  • Health (2,063)
  • Lifestyle (1,879)
  • Politics (3,259)
  • Sports (4,209)
  • Tech (2,111)
  • Uncategorized (4)
  • World (4,319)
Our Picks

Americans Honor Jimmy Carter, Celebrate Former President’s 99th Birthday

October 1, 2023

Factbox: Industry targets of U.S. Republicans’ anti-ESG efforts

April 23, 2023

ATVI, CHWY, YELP, TSLA and more

July 18, 2023
Popular Posts

17 Performances in 2½ Hours

May 17, 2026

Colin Jost Reveals The Rejected ‘SNL’ Joke That Hegseth Then Did ‘For Real’ Anyway

May 17, 2026

Vir Biotechnology Stock Has Doubled This Past Year. One Fund Just Bought 1.2 Million Shares

May 17, 2026
© 2026 Patriotnownews.com - All rights reserved.
  • Contact
  • Privacy Policy
  • Terms & Conditions

Type above and press Enter to search. Press Esc to cancel.