NEW ATRA REPORT REVEALS NEW YORK TRIAL LAWYERS SPENT $179 MILLION ON ADS PUSHING LAWSUITS AS FRAUDEMIC FUELS SOARING AUTO INSURANCE COSTS - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Property and Casualty News
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Property and Casualty News RSS Get our newsletter
Order Prints
March 17, 2026 Property and Casualty News
Share
Share
Post
Email

NEW ATRA REPORT REVEALS NEW YORK TRIAL LAWYERS SPENT $179 MILLION ON ADS PUSHING LAWSUITS AS FRAUDEMIC FUELS SOARING AUTO INSURANCE COSTS

States News Service

The following information was released by the American Tort Reform Association (ATRA):

Data shows explosive growth in legal advertising as Gov. Hochul pushes reforms to curb fraud

A new report from theAmerican Tort Reform Association exposes a staggering surge in lawsuit ads across New York, revealing how aggressive marketing campaigns fuel both fraud and skyrocketing auto insurance premiums amid Gov. Kathy Hochuls (D) push to address affordability through anti-fraud and litigation reform measures.

New Yorkers are trapped in a rigged game where trial lawyers profit from fraud and taxpayers pick up the tab, saidLauren Sheets Jarrell, ATRAs Vice President and Counsel for Civil Justice Policy. Gov. Hochuls efforts to clean up the system are a crucial step toward restoring fairness and affordability in one of the nations worst Judicial Hellholes. Lawmakers who reject these reforms are siding with billboard lawyers over working families.

In2025 alone, plaintiffs attorneys poured nearly$179 millioninto almost1.2 million local legal service adsacross New Yorks media markets an84% increasesince 2023. A majority (78%)of those ads promoted personal injury attorneys, withnearly 300,000 ads specifically related to accident attorneys, including motor vehicle and construction worksite accidents.

The spike in trial lawyer ads tracks closely with risingauto insurance fraudandno-fault litigation scamsthat plague the states legal system. Data from theNew York State Department of Financial Servicesshow reports of insurance fraud nearly doubling since 2020. ATRA notes that fraudulent schemes often involve unscrupulous lawyers partnering with corrupt medical providers to inflate claims and drain billions from insurers costs ultimately passed down to consumers.

We're all footing the bill for this flood of trial lawyer advertising, said Tom Stebbins, Executive Director of theLawsuit Reform Alliance of New York. With every unnecessary lawsuit and jackpot claim, it costs more to drive a car, deliver food, transport products, and operate public transit and emergency services. Billboard attorneys aggressively advertise along our highways, on TV, the radio, and digital platforms to recruit plaintiffs and condition a litigious culture. They drum up an endless stream of litigation, hoping to transform every fender bender into a high-value case.

New Yorkers pay the second-highest tort tax in the nation up 43% since 2022, now at $2,684 per person annually due to excessive litigation. ATRAs latest findings reinforce New York Citys distinction as theNo. 2 Judicial Hellholein the nation, a ranking driven largely by the rampant fraud that distorts the civil justice system.

The connection is impossible to ignore trial lawyers flood New Yorks airwaves with ads designed to recruit plaintiffs, then profit from a culture of endless litigation, Sheets Jarrell said. These campaigns condition consumers to see every accident as a potential payday and encourage fraudulent claims that drive up premiums for everyone else. Lawsuit abuse isnt just a courtroom problem; its an economic one that squeezes working families and deters investment.

The trial lawyers spend millions to control the agenda inside the state capitol and to tip the scales of public perception, said Ashley Ranslow, New York State Director for the National Federation of Independent Business. New Yorks small businesses are struggling to keep their doors open as operating costs soar.

Last year, 33 law firmsspent more than $1 million each on ads. The largest individual spender,Morgan and Morgan, doubled its ad budget year-over-year, totaling$27.5 millionin 2025. Andrew Finkelstein, current president of the New York State Trial Lawyers Association, is managing partner of several different law firms, including Finkelstein and Partners and Jacoby and Meyers. Combined, those two firms spent at least $3.7 million on more than 20,274 ads in 2025.

Gov. Kathy Hochul's anti-fraud and lawsuit reform proposals take direct aim at the trial lawyers business model and the laws that incentivize profiteering, Stebbins said. It's time for the New York State Legislature to back her proposals and bring down costs for working families instead of blocking reforms so wealthy billboard lawyers can keep spending millions on obnoxious ads while working families struggle to make ends meet."

Lawmakers have a clear choice stand with Governor Hochul in tackling this fraud epidemic or stay silent while billboard lawyers bleed New Yorkers dry, Sheets Jarrell said. The data show whats at stake: billions in costs, hundreds of thousands of lost jobs, and a justice system that rewards manipulation over merit. Its time to restore balance by passing meaningful reform and ending the trial bars stranglehold on New Yorks economy.

Older

Bamco Inc. NY Invests $4.86 Million in AbbVie Inc. $ABBV

Newer

HEALTH INSURANCE MARKETPLACE CALCULATOR

Advisor News

  • The hidden flaw in insurance AI adoption for advisors and carriers
  • Rising healthcare costs impact 401(k) accounts
  • What advisors think about pooled employer plans, alternative investments
  • AI, stablecoins and private market expansion may reshape financial services by 2030
  • Cheers to summer, and planning for what comes next
More Advisor News

Annuity News

  • MetLife Inc. (NYSE: MET) Climbs to New 52-Week High
  • The Standard and Pacific Guardian Life Announce Entry into Agreement to Transition Individual Annuities Business
  • AuguStar Retirement launches StarStream Variable Annuity
  • Prismic Life Announces Completion of Oversubscribed Capital Raise
  • Guaranteed income streams help preserve assets later in retirement
More Annuity News

Health/Employee Benefits News

  • Reduced health insurance payments for hospital births had a bigger impact on sterilization rates than correcting an injustice
  • Reports Summarize Pulpotomy Findings from National Health Insurance Service Ilsan Hospital (Trends and Outcomes of Vital Pulp Therapy in Korea: A Nationwide Retrospective Cohort Study): Surgery – Pulpotomy
  • Reports on Managed Care Findings from Harvey L. Neiman Health Policy Institute Provide New Insights (Self-Interpretation of Imaging Studies by Ordering Providers: Frequency and Associated Provider and Practice Characteristics): Managed Care
  • Investigators at Harvard Medical School Detail Findings in Managed Care (What Happens When Coverage Is Cut? Looking Backward and Forward From the One Big Beautiful Bill): Managed Care
  • Researchers at Weill Cornell Medicine Cornell University Release New Data on Managed Care (Trends in prescription drug coverage restrictions in Medicare, Medicaid, and commercial insurance plans, 2011-2019): Managed Care
More Health/Employee Benefits News

Life Insurance News

  • Shocking death of Kyle Busch renews debate over IUL plan
  • WoodmenLife launches final expense life insurance offering
  • The Standard and Pacific Guardian Life Announce Entry into Agreement to Transition Individual Annuities Business
  • Symetra Wins 2026 Shorty Award for ‘Plan Well, Play Well’ Social Media Campaign with Sue Bird
  • Rehabilitator: PHL Variable liquidation payouts could exceed guaranty caps
More Life Insurance News

- Presented By -

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Why Blend in When You Can Make a Splash?
Pacific Life’s registered index-linked annuity offers what many love about RILAs—plus more!

Life moves fast. Your BGA should, too.
Stay ahead with Modern Life's AI-powered tech and expert support.

Bring a Real FIA Case. Leave Ready to Close.
A practical working session for agents who want a clearer, repeatable sales process.

Discipline Over Headline Rates
Discover a disciplined strategy built for consistency, transparency, and long-term value.

You Could Be Losing Up to 20% of Your Commissions
GreenWave helps you find, fix, and prevent commission errors.

Press Releases

  • JP Insurance Group Launches Commercial Property & Casualty Division; Appoints Joe Webster as Managing Director
  • Sequent Planning Recognized on USA TODAY’s Best Financial Advisory Firms 2026 List
  • Highland Capital Brokerage Acquires Premier Financial, Inc.
  • ePIC Services Company Joins wealth.com on Featured Panel at PEAK Brokerage Services’ SPARK! Event, Signaling a Shift in How Advisors Deliver Estate and Legacy Planning
  • Hexure Offers Real-Time Case Status Visibility and Enhanced Post-Issue Servicing in FireLight Through Expanded DTCC Partnership
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.
Insurance News | InsuranceNewsNet