Nuclear verdicts & social inflation driving up losses

Nuclear verdicts, third-party litigation funding and social inflation are driving outsized jury awards and forcing carriers to raise rates or exit lines.

Analysis:

Litigation analytics and early-case assessment tools can help carriers identify high-exposure claims early and optimize reserve setting. Companies like Lex Machina and Premonition are in adjacent markets. The insurance-specific application is valuable but the TAM is limited to large carriers and defense counsel.