Citation

Carroll S, Abrahamse A. Am. Law Econ. Rev. 2001; 3(2): 228-250.

Copyright

(Copyright © 2001, Oxford University Press)

DOI

10.1093/aler/3.2.228

PMID

unavailable

Abstract

This study analyzes auto personal injury claims across the states to estimate the frequency of claims for nonexistent or preexisting injuries. We develop a series of hypotheses regarding the specific claiming patterns that would signal the presence of excess claims. We draw on a nationally representative sample of auto-accident injury claims closed during 1987 to test these hypotheses. The results strongly support the hypotheses. We conclude that approximately 42% of reported soft-injury claims in the dollar-threshold and tort states are for nonexistent or preexisting injuries.