Press Release: Economic Impact of Lawsuit Abuse on West Virginians

West Virginians continue to lose money because of lawsuit abuse in our state. According to the newly released CALA 2025 Economic Impact Report conducted by The Perryman Group, West Virginia lost over $1.3 billion in gross product, $1.0 billion in direct costs, a $748 annual tort tax per resident, and over 11,000 jobs due to the negative impact of lawsuit abuse in 2025.  

“Each and every year, West Virginians continue to get hit hard economically because of lawsuit abuse in our state. At a time when affordability is one of the most pressing issues facing our state’s residents, it is astonishing that our State Senate has failed to address this important issue. In fact, the State Senate has actually advanced policies that threaten to make the problem even worse for our people,” said Greg Thomas, Executive Director of West Virginia Citizens Against Lawsuit Abuse.  

The Perryman Group conducted their annual study of the excessive costs of the U.S. tort system, showing that West Virginia has one of the worst economies in the county and is hurt tremendously by lawsuit abuse. According to the report, West Virginians lost $851,500,000 in personal income due to excessive tort costs, in addition to 11,036 jobs. This is especially troubling in a state such as ours that already has fewer people working than any other state in the country, as West Virginia has had the lowest workforce participation rate in the nation for decades.  

Additionally, West Virginians pay a tort tax of $748 per year, which adds insult to injury to families and small businesses, since West Virginia has one of the lowest per capita incomes in the nation at only $55,138 in 2024 (49th in the nation). 

Greg Thomas concluded by saying, “It’s a shame that the State Senate continues to focus on social issues that have already been addressed by previous conservative legislatures, instead of focusing on growing our economy and addressing the issue of affordability. Legal reform should be a top issue for our legislature, but the status quo caucus of the State Senate is more interested in doing the bidding of their personal injury lawyer campaign donors than helping West Virginians pay their bills.” 

The Economic Benefits of Tort Reform Update report can be viewed by clicking here.