According to a recent Wall Street Journal analysis, auto insurers are closing more liability claims without making a payment, leaving some drivers with fewer financial options after a crash.
The Journal reviewed thousands of insurance company regulatory filings and found that 45% of auto liability and medical claims resolved in 2025 were closed without payment, up from 35% a decade earlier. The Journal found a different trend in auto damage claims, where just under one in four resolved claims resulted in no payment last year—a rate similar to a decade ago.
The Journal reported that liability claims are typically more complex and expensive and are more likely to involve attorneys. Insurers say increased fraud, litigation and claims outside policy terms can all contribute to claims closing without payment. Consumer advocates, however, argue that insurers are becoming more aggressive in denying or limiting claims.
