Ken Hickman, a New Jersey resident, expressed concerns about the state's high car insurance costs and taxes. He questioned the allocation of tax spending in a statement made on his X profile on February 7.
"Can DOGE investigate New Jersey," said Hickman. "Where is all of our tax money going."
New Jersey drivers are expected to face another significant increase in car insurance premiums in 2025, with rates projected to rise by an average of 17.2%, as reported by New Jersey 101.5. This follows previous increases, including a double-digit rise in 2024 and a 6% hike in 2023. The average annual cost of auto insurance in the state is anticipated to reach nearly $2,400.
The Insurance Information Institute highlights that legal system abuse, such as excessive litigation and third-party litigation funding (TPLF), is contributing to rising insurance costs across various sectors. In Florida, for instance, despite accounting for only 15% of total claims, the state is responsible for 71% of the nation's homeowners' insurance lawsuits. Industry experts attribute increasing claim costs to large verdicts, questionable claims tactics, and heightened litigation rates.
The Institute for Legal Reform explains that TPLF involves external funders financing lawsuits in exchange for a portion of any settlement or judgment. TPLF is divided into consumer funding, which aids individual plaintiffs in personal injury or tort cases, and commercial funding that supports large-scale litigation like class actions and alternative dispute resolution.
Litigation significantly impacts small businesses by causing financial strain, reputational damage, and potential closure. According to Trapp Law, LLC., court costs, loss of sales, and negative media coverage can erode customer trust and affect revenue substantially. Even false accusations can inflict long-term harm on businesses, underscoring the importance of legal preparedness and business protections.
Hickman describes himself on his X profile as a conservative commentator based in New Jersey and a supporter of the MAGA movement. He has been active on X since April 2021, frequently posting about taxation, government spending, and political commentary.
