Lawsuit Abuse is Driving Up the Cost of Everything You Buy

While politicians debate tariffs and tax policy, a hidden “lawsuit tax” is quietly inflating prices on groceries, consumer goods, and everything that moves by truck – which is nearly everything.

America’s litigation system has turned commercial trucks into “18-wheel ATMs.” The “hit a truck, get a check” mentality isn’t just hurting trucking companies – it’s hitting your wallet every time you shop.

By the Numbers

• 47% — Increase in trucking insurance rates from 2010-2020 (U.S. Chamber of Commerce, 2023)
• $529 billion — Total U.S. lawsuit costs in 2022, representing 2.1% of GDP (U.S. Chamber, 2024)
• 7.1% — Annual growth in lawsuit costs from 2016-2022, outpacing both inflation (3.4%) and GDP growth (5.4%) (U.S. Chamber 2024)
• $4,207 — Annual lawsuit burden per American household (U.S. Chamber 2024)
• $342.9 billion — “Excessive” lawsuit costs above expected norms (Perryman Group, 2023)
• $3,965 — “Excessive” lawsuit costs per household (Perryman Group, 2023)

The Transportation Multiplier

Lawsuit abuse hits food prices hardest. The Federal Highway Administration estimates every $1 of agricultural products requires 14.2 cents in transportation services, compared to 9.1 cents for manufactured goods and 8 cents for mining products.

Translation: When trucking costs spike, your grocery bill feels it first.

The Bottom Line

Affordability is a defining political issue. Any serious conversation about lowering costs must include lawsuit reform. You can’t fix inflation while ignoring the litigation tax embedded in every product that travels by truck.

Douglas B. Marcello
Shareholder
Saxon & Stump
Reprinted from Saxon & Stump News and Insights