The Business Model Generating Litigation in the Transportation and Logistics Industry
A FreightWaves webinar presented by Demotech, Inc.
September 4, 2025, 2:00 pm ET
COLUMBUS, Ohio, Aug. 28, 2025 /PRNewswire/ -- The transportation and logistics industry has been plagued by nuclear verdicts and social inflation.
A research project developed and initiated by Demotech, Inc., an insurer rating agency, unearthed the business model of tech-enabled claim instigation, as utilized by opportunists to secure contested or litigated claims through search engine optimization, pay-per-click, and other online tactics leveraged by AI platforms and litigation marketing firms.
This business model litigated several insurers to death in 2020, and, with the demise of Yellow Freight, Davies Trucking, and Carroll Fulmer, has the transportation industry in its sights.
Joe Petrelli, whose research project subsequent to several insurer failures including American Capital Assurance Corporation which was dual rated with A. M. Best, validated Demotech's review and analysis process by unearthing an online business model that litigated carriers to death, will be joined by Renee Amar, Louisiana Motor Transport Association, Executive Director, and Chris Mason, Breazeale, Sachse & Wilson, L.L.P, transportation defense counsel, to discuss the discovery of tech-enabled claim instigation, the types of litigation and contested claims that are adversely impacting operations, profitability and distribution and the intricacies of introducing curative legislation.
Registration is free and available here:
About Demotech, Inc.
Established in 1985, Demotech, Inc. is a financial analysis firm located in Columbus, Ohio. Demotech has served the insurance industry by providing objective and independent Financial Stability Ratings® (FSRs) for Property & Casualty insurance companies, Life & Health insurance companies, and Title underwriters, among others. As the first company to have its rating process formally reviewed and accepted by Fannie Mae, Freddie Mac, and HUD, Demotech has been leveling the playing field by offering FSRs to insurers of all sizes. As of July 11, 2022, Demotech is registered with the U.S. Securities and Exchange Commission (SEC) as a nationally recognized statistical rating organization (NRSRO) in the class of ratings for insurance companies. Visit www.demotech.com for additional information.
SOURCE Demotech, Inc.
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