Texans for Lawsuit Reform (TLR) has announced that Texas families are now paying over $8,600 annually for home and auto insurance. The organization attributes these higher premiums to lawsuit abuse and litigation costs.
According to a recent analysis focused on insurance affordability in Texas, the state’s combined home-and-auto “insurance burden” ranks near the top nationally. This measure compares standardized premiums to median take-home income and highlights catastrophe exposure, rebuilding and repair costs, regulation, and litigation as significant factors. The report estimated Texas’ burden at 10.95%, with an annual combined cost in the mid-$8,000 range, emphasizing why premium growth has become a key issue in state policy debates.
In its statement, TLR said that “Texas families now pay over $8,600 a year for home + auto insurance,” describing this total as “among the highest in the country.” It attributed a significant portion of this cost to “high litigation costs” linked partly to “lawsuit abuse,” which inflates claims and raises premiums. TLR added that “when ambulance-chasing lawyers drive up costs, Texans pay the trial lawyer tax,” framing it as a statewide affordability burden affecting households that may never file a claim.
External analyses referenced in the broader tort-reform debate have quantified litigation’s economic impact in Texas. The U.S. Chamber of Commerce’s Institute for Legal Reform reported that as of 2022, Texas tort costs reached nearly $38 billion, equating to about $4,594 per household. Separate consumer pricing benchmarks indicate that Texas auto coverage is expensive independently, with Bankrate estimating average full-coverage car insurance in Texas at $2,751 per year.
Texans for Lawsuit Reform is an advocacy organization founded in 1994 promoting civil-justice changes aimed at discouraging non-meritorious lawsuits and reducing abusive litigation tactics. TLR advocates for a “fair, efficient and predictable civil justice system,” with its offices located in Austin to focus on state policymaking and judicial issues.
