Lawsuit abuse continues to cost West Virginians jobs and hurts our local economy, according to a recent Citizens Against Lawsuit Abuse Economic Impact Report study conducted by the Perryman Group. The “tort tax” in West Virginia in the estimated 2023 reduction in output on a per-capita basis was found to be $676.97. Negative impacts of our aggressive tort system have a negative fiscal impact in West Virginia of $334 million. You can read the entire study by visiting the Citizens Against Lawsuit Abuse website here.
“Lawsuit Abuse hurts family budgets and job creators alike. West Virginia leaders have taken steps to improve our legal system in West Virginia, but we still have a lot to do. The tort tax of nearly $700 per year is a major blow to average working families in West Virginia,” said Greg Thomas, Executive Director for WV Citizens Against Lawsuit Abuse.
This “tort tax” increases the costs and risks of doing business in our state, it causes higher insurance premiums, increased healthcare costs, declining availability of services, and deters economic development and job creation initiatives. The manufacturing industry and healthcare are hit hardest by this “tort tax”, but it puts a heavy burden on all West Virginians.
Thomas concluded by saying, “Let’s hope that the legislature starts to focus on ways to improve the economy in West Virginia by enacting legal reforms during this current session. There are several good ideas being considered that would contribute to lowering the “tort tax” in West Virginia even more.”
