Medical Malpractice Insurers Report Losses, Raise Rates for Doctors while Cases and Claims Plummet
Contrary to popular myth, very few injured Americans file lawsuits. In fact, a majority of cases in our courts today involve businesses suing other businesses and businesses suing individuals.
The American Medical Association (AMA) has examined why insurance companies are raising premium rates on doctors again. Cited as drivers for these increases were “deteriorating underwriting results, lower loss reserve margins and lower returns on investments.” Lawsuits were not blamed for the rate hikes.1
- The number of all civil cases filed in Illinois courts has been steadily declining, down 61 percent between 2010 to 2024.2 The number of medical malpractice cases in Illinois has dropped 39 percent since 2003.3
- According to the National Center for State Courts, medical malpractice cases represent a tiny percentage of civil caseloads ranging from 0.02 to 0.58 percent in 2024.4
- ISMIE's annual reports reveal paid claims have fallen 32 percent over the since 2010.5
- ISMIE has expanded beyond Illinois. They now write medical malpractice insurance policies in 35 states and Washington D.C.6
- ISMIE’s direct written premium was just over $220 million in 2025. While overall assets approached $1.6 billion.7
- ISMIE posted strong financial numbers in 2025, as their surplus increased more than $27 million to $700 million total.8
- Data compiled by the National Association of Insurance Commissioners (NAIC) makes clear that over the last decade, the medical malpractice insurance market has been extremely profitable nationally; that it has been even more profitable in Illinois than nationally; and that ISMIE has been more profitable than the Illinois average.9
1 American Medical Association, “AMA analysis shows 3-year surge in medical liability premium increases,” March 10, 2022. https://centerjd.org/content/study-how-cash-rich-insurance-industry-fakes-crises-and-invents-social-inflation
2 “Annual Report of the Illinois Courts, Statistical Summary,” 2010 to 2024, http://illinoiscourts.gov/SupremeCourt/AnnReport.asp#2011
3 “Collar County Medical Malpractice New Suits,” Law Bulletin Publishing company, reflecting filings through 2021 in 20 Illinois counties including Cook, DuPage, Lake, Kendall, Kane, Madison, St. Clair and Will.
4 National Center for State Courts, “Trial Court Caseload Overview, Incoming Caseload Composition – Civil,” https://www.ncsctableauserver.org/t/Research/views/TrialDashboards/Civil.
5 ISMIE Mutual Insurance Company annual reports.
6 ISMIE Mutual Insurance Company 2024 annual report.
7 Ibid.
8 Ibid.
9 NAIC Report on Profitability by Line by State. January 2023.
PDF Fact Sheet: Medical Malpractice Insurers Report Losses, Raise Rates for Doctors while Cases and Claims Plummet
