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Expert Analysis Article: Why the Specter of Social Inflation is Haunting Insurers

February 28, 2020

Hinshaw attorneys Scott Seaman, Kevin Burke, Judy Selby and Pedro Hernandez recently authored a Law360 Expert Analysis article titled “The Legal Trends Behind ‘Social Inflation’ in Insurance.”

Social inflation has generated considerable buzz among insurers recently. In a recent Wall Street Journal article, social inflation was described as "an upward creep in perceptions by an injured party of what they are owed, [and] their willingness to pursue that via the legal system."

The authors examine the traditional factors responsible for social inflation in the U.S. civil justice system, as well as more recent social factors fueling the phenomenon. They also assess the impact on insurers and the steps they are taking to combat social inflation.

Download a copy of the article (PDF)

“The Legal Trends Behind ‘Social Inflation’ in Insurance” was published by Law360, February 21, 2020. Republished with permission.

Seaman and Simon Laird of RPC were also recently quoted in an Insurance Post story regarding the prospect of US-style social inflation of insurance claims costs making its presence felt in the United Kingdom.

Hinshaw & Culbertson LLP is a U.S. based law firm with offices in 12 states and London. The firm's national reputation spans the insurance industry, the professional services sector—including representation of law firms and lawyers—and other highly regulated industries, such as banking and finance and the debt collection sector. Hinshaw also provides a series of closely coordinated litigation, business advisory and transactional services to clients of all sizes as well as governmental and public sector entities.