Trucking Litigation’s Hidden Costs: Safer Miles, Skyrocketing Insurance Premiums

A new report from the U.S. Chamber of Commerce’s Institute for Legal Reform says the median verdict in trucking crash lawsuits has reached $5.2 million, adding to pressure on carriers already facing higher insurance and operating costs.

Large Verdicts Add to Insurance Pressure

The institute’s Roadblock report argues that trucking litigation and exceptionally large jury awards are contributing to higher insurance costs and, ultimately, increased costs for consumers.

Liability insurance premiums reached a record 10.6 cents per mile in 2025, according to preliminary industry data cited in the report. Stephen Waguespack, president of the institute, said the trucking industry is facing growing costs associated with excessive litigation.

Total trucking operating costs, including driver pay and benefits, reached approximately $2.37 per mile in 2025. Preliminary data indicates that costs continued to rise, with insurance among the leading contributors. Truckload carrier costs increased about 13% between 2022 and 2025, while revenue per mile grew 8.4%.

Evidence and Litigation Costs

Trucking lawsuits can involve extensive documentation, including driver logs, dispatch records, maintenance files, cargo documents, onboard electronic data and inspection reports. Some records are stored in electronic systems, while others can become more difficult to obtain as time passes.

The report also points to broader changes affecting the industry. Fatal crashes involving large trucks have become more numerous, medical and other loss expenses have increased, and the federal liability insurance minimum established decades ago has lost purchasing power. Large jury awards have also become a more visible factor in trucking litigation.

Those costs can affect carriers even when they do not have a recent claim. A small, family-owned fleet may face a substantial renewal increase despite reporting no claims during the previous policy year.

Small Carriers Face Narrower Margins

Higher insurance costs are particularly challenging for smaller trucking businesses, which have fewer vehicles and less revenue over which to spread fixed expenses. Industry operators also face expenses tied to breakdowns, freight claims, compliance requirements and financing.

Premium financing can help a carrier spread annual insurance payments over monthly installments, but the financing company may charge fees and interest. As a result, the total cost can exceed the annual premium, making it important to include financing expenses when calculating operating costs.

The Chamber institute’s report points to tort reform as one possible way to reduce litigation-related expenses. It cites sweeping reforms in Florida as contributing to a downward trend in average paid claim severity. The report presents the reforms as a potential model for addressing the cost of large liability claims.

For carriers, the combination of higher verdicts, rising premiums and increased operating expenses continues to place pressure on profitability, particularly among smaller fleets operating with limited financial reserves.