Dog Bite Lawsuits Surge, Forcing Insurers to Restrict Coverage

Civil lawsuits arising from dog attacks, particularly those involving pit bulls, have climbed sharply across the United States, triggering a broad underwriting response from the property insurance industry. The New York Times reported in October 2023 that insurance companies are raising premiums and, in many cases, excluding pit bulls from homeowner policy coverage altogether as litigation costs mount ^[1]. The trend reflects a convergence of rising claim frequency and escalating jury awards that insurers can no longer absorb at standard rates ^[1].

The scale of the liability exposure is substantial. U.S. insurers paid out $1.12 billion in dog-related injury claims in 2023, according to the Insurance Information Institute (Triple-I) and State Farm. The number of dog bite and related injury claims reached 19,062 that year, an increase of more than 8% from 2022 and a 110% increase over the past decade.^[2] The average cost per claim nationally rose 82.5% from 2014 to 2023, driven by increased medical costs and the size of settlements, judgments, and jury awards given to plaintiffs.^[3] The average cost per claim stood at $58,545 in 2023, down from $64,555 in 2022, with California, Florida, and Texas recording the most claims.^[2]

The insurance industry's response has been direct and consequential for policyholders. Some insurance companies will not insure homeowners who own breeds categorized as dangerous, such as pit bulls. Others decide on a case-by-case basis, depending on whether an individual dog has been deemed vicious, regardless of breed.^[3] Some insurers are taking steps to limit their exposure to such losses, requiring dog owners to sign liability waivers, charging higher premiums for owners of breeds such as pit bulls and Rottweilers, or declining to offer coverage to dog owners at all.^[3] Once a dog has bitten someone, an insurer may charge a higher premium, non-renew the homeowner's policy, or exclude the dog from coverage.^[3]

The legal framework governing liability varies considerably by state, which shapes both litigation strategy and insurance exposure. Three primary standards impose liability on owners: dog-bite statutes, which create automatic liability for unprovoked injuries; the one-bite rule, which requires proof that the owner knew the dog was dangerous; and negligence laws, under which liability turns on whether the owner exercised reasonable care.^[3] At least two states, Pennsylvania and Michigan, have laws that prohibit insurers from canceling or denying coverage to the owners of particular dog breeds in certain policies.^[3] According to The New York Times, the surge in pit-bull-related civil suits is pressuring insurers to act even in states that have not enacted breed-specific bans ^[1].

Plaintiffs' attorneys and consumer advocates contend that breed-based exclusions leave injured parties with inadequate recourse when dog owners lack alternative coverage. Animal liability insurance, offered as a standalone policy, exists for dog owners who cannot secure coverage through standard homeowners insurance, typically because of breed restrictions, bite history, or business activities involving dogs.^[3] Homeowners and renters insurance policies typically cover dog bite liability legal expenses up to limits of $100,000 to $300,000; if a claim exceeds that limit, the dog owner is personally responsible for all damages above that amount.^[3] As civil dockets fill with high-value dog attack claims, the gap between policy limits and jury verdicts is a fault line that both litigators and underwriters are watching closely ^[1].

References

[1] The New York Times. (2023, October 5). Dog Attack Lawsuits Are Soaring. Insurance Companies Are Responding. https://www.nytimes.com/2023/10/05/us/dog-attacks-liability-insurance-pit-bull.html

[2] Insurance Journal. (2024, April 9). US Dog-Related Injury Claims Hit $1.12 Billion in 2023: Triple-I, State Farm Report. https://www.insurancejournal.com/news/national/2024/04/09/768551.htm

[3] Insurance Information Institute. (2026, April 10). Spotlight on: Dog bite liability. https://www.iii.org/article/spotlight-on-dog-bite-liability