New York’s 2026 Tort Reforms: Changing the Game for Motor Vehicle Accident Cases

Introduction

Governor Kathy Hochul’s latest 2026 tort reform was significant and will change the game for how New York motor vehicle claims are litigated. As of May 2026,^[1] Governor Kathy Hochul signed into law a series of significant tort reform measures as part of New York’s Fiscal Year 2027 Budget. She had key goals to reduce insurance premiums from New Yorkers who depend on a car to get to work or drop their kids to school, farmer’s supply chain costs, and construction companies who would reduce the costs of building. This is analogous to tort reforms in Florida in 2023 showing reduced rates in 2025. Governor Hochul is seeking to achieve the same here in New York.

The reform is focused on reducing insurance fraud, controlling litigation costs, and ultimately lowering automobile insurance premiums. These reforms in a legal sense will impact both liability and damages evaluations via targeting comparative negligence/fault and the serious injury threshold. For both Plaintiff and Defense attorneys these reforms will present new opportunities and challenges when evaluating cases for liability and damages claims while potentially reducing overall exposure in motor vehicle accident litigation.

Changes in Liability Determinations: Modified Comparative Negligence – CPLR § 1411

Until now, New York the caselaw has shown that we have been a pure comparative negligence state A plaintiff who was 99% at fault could still walk away with 1% of the verdict. A Plaintiff could recover damages regardless of the percentage of fault attributed to them, with any award simply reduced by their proportionate share of responsibility.

However, the majority of U.S. States follow modified comparative negligence. In a modified comparative negligence jurisdiction,^[2] an injured plaintiff can recover damages, provided their share of fault for the accident falls below a specific legal threshold. If their responsibility equals or exceeds that threshold, they are completely barred from recovering compensation from the other party. Under the new reform, a plaintiff found to be more than fifty percent at fault for causing an accident may be barred from recovering non-economic damages, including pain and suffering.

These reforms have the potential to change and optimize the litigation strategy for both plaintiffs and defendants. Liability determinations will now have a greater impact on case valuation and settlement negotiations. Cases that have previously been indefensible can be defended if Defense counsel can demonstrate that the Plaintiff’s conduct was the primary cause of the accident.

Additionally, attorneys will need to continue to use liability experts such as biomechanical experts, and accident reconstruction experts who will be more important to the strategy of each claim. Site inspections and investigations following the accident including black box and EDR data, and accident reconstruction, will be essential in a modified comparative fault jurisdiction.

Changes in Damages Determinations Re: Serious Injury Threshold 5102(d) and 5104(a)

The legislation also revises New York’s serious injury threshold, one of the most important reforms for motor vehicle litigation under Insurance Law § 5102(d) and § 5104(a). Plaintiff’s counsel has often relied upon the “90/180-day” category, which permitted recovery for non-economic damages when an injury prevented the performance of substantially all customary daily activities for at least ninety of the first one hundred eighty days following an accident. Governor Hochul has completely repealed this section of the serious injury threshold in favor of more objective standards. Temporary and subjective injuries will no longer be able to create a higher settlement value.

This will also change the game for motion practice. Serious injury threshold motions will now have more objective standards and arguments to utilize. Plaintiffs may have a higher burden of proof requiring more extensive medical records and evidence to prove injuries. However, we are currently awaiting upcoming caselaw following the tort reform to determine how the New York courts will enforce object standards in place of the “90/180 day rule.” The serious injury-threshold will be a stronger and more effective tool and strategy in motor-vehicle cases.

This new tort reform will strengthen the tools in defense counsel’s toolkit, and the weight of the medical evidence will be more important. Now more than ever, thorough medical reviews, independent medical examinations, and experts reports will be the focus of motor vehicle litigation.

Conclusion

Governor Hochul’s 2026 tort reforms represent a substantial shift and departure from the current New York motor vehicle litigation. The limits placed on Plaintiffs who are over 50% at fault, and a stricter serious injury threshold requirement will change how attorneys evaluate motor vehicle cases. Liability experts will become more important and damages experts may hold more weight. In addition to threshold challenges, a proper and thorough analysis of comparative fault will be an important element to any and all legal claims. Legal strategies will need to be more adaptable and hands-on including utilizing experts, EDR data, and all tools at counsel’s disposal to continue to prove their case. We currently await the New York court system to interpret these new laws to determine how far the reforms will impact litigation. However, now just as Governor Hochul did attorneys can look to the law in other states as over 30 states are in a modified comparative negligence jurisdiction, and now New York will follow suit.

[1] Governor Hochul Secures Reforms to Lower Auto Insurance Premiums for New Yorkers | Governor Kathy Hochul | New York State

[2] Contributory and Comparative Negligence by State – Bloomberg Law