P&A Providers & Administrators
MenuMENU
SearchSEARCH

Toyota Sued By Seven More Insurers Over Acceleration Claims

January 4, 2011
2 min to read


LOS ANGELES  - Seven automobile insurance firms have followed Allstate Insurance Co. in suing Toyota Motor Corp. to recover money they paid in claims for car crashes blamed on unintended acceleration of Toyota vehicles.


The insurers' court action has opened a new front in U.S. civil litigation mounting against the Japanese automaker as the company battles to move beyond an auto safety crisis sparked by wide-ranging complaints of Toyotas speeding out of control, reported Automotive News.

Ad Loading...


Acceleration problems in Toyotas led to renewed scrutiny from federal regulators, several congressional hearings and a series of worldwide recalls that damaged Toyota's reputation for quality.


The National Highway Traffic Safety Administration is investigating reports that as many as 89 crash deaths since 2000 may be linked to unintended acceleration in Toyotas and the company's luxury-line Lexus vehicles.


Toyota also faces an estimated $10 billion in potential civil liability in U.S. courts for consumer fraud, personal injury and wrongful death claims stemming from acceleration complaints.


The latest lawsuits, filed Thursday in Los Angeles County Superior Court, echo claims in separate cases pending elsewhere that Toyota long ignored and hid a defect that causes some of its engines to surge out of control, and failed to install a brake-override system that would have prevented accidents.


The seven insurers are collectively seeking compensatory damages of at least $188,000, a fraction of the $3 million in losses sought by Allstate in its own filing in October for itself and affiliates.

Ad Loading...


The seven latest companies to bring such subrogation actions against Toyota are: American Automobile Insurance Co., Fireman's Fund Insurance Co., National Surety Corp., Ameriprise Insurance Co., IDS Property Casualty Insurance Co., Motorists Mutual Insurance Co. and American Hardware Mutual Insurance Co.


Their suits, brought in three separate filings, come nearly two weeks after it was disclosed that Toyota agreed to pay $10 million to settle legal claims from the family of a California state trooper and three relatives whose fatal car wreck in 2009 helped trigger the automaker's recalls.


Those recalls, encompassing 5.4 million U.S. vehicles, were ordered by Toyota for repairs of ill-fitting floor mats that can jam the accelerator and for gas pedals that did not spring back as designed.


Toyota has steadfastly denied allegations raised in much of the litigation it faces, including the latest insurer claims, that an as-yet unidentified electronic glitch is to blame for its acceleration problems.


The automaker did not immediately respond to a Reuters request for comment on the insurers' lawsuits.

Ad Loading...


According to the Los Angeles Times, Toyota issued a statement this week saying that the latest lawsuits are without merit and that such disputes "are common between insurers and automakers."

More Industry

Subwoofer in trunk of car.
Industryby Lauren LawrenceMay 26, 2026

Ownership Priorities are Shifting

A new survey shows that in the U.S. vehicle quality for generation Z is largely defined by advanced safety features, intuitive technology and premium sound systems.

Read More →
Man's hand holding gas pump in fuel tank of white car
Industryby Hannah MitchellMay 26, 2026

Pump Price Jump Calculated

ISeeCars.com examined fuel costs for different power trains, finding which ones have experienced the biggest hits since the war in Iran commenced.

Read More →
Graphic showing previous week's truck and SUV segment prices
Industryby StaffMay 20, 2026

Black Book: Weekly Market Update

Wholesale values fell last week despite the spring season still being in the traditional full-gear mode, analysts said.

Read More →
Ad Loading...
Photo of dealership sign with Toyota logo
Industryby Lauren LawrenceMay 19, 2026

Arkansas Auto Group Acquires First Indiana Rooftop

Performance Brokerage Services represented both the buyer and seller in the sale of Carver Toyota of Columbus by Carlock Automotive Group.

Read More →
Headshot photo of Antonio Filosa, Stellantis CEO
Industryby Hannah MitchellMay 19, 2026

Stellantis to Dive Into U.S. Lending

The multinational maker of Chrysler, Dodge, Jeep, Ram and multiple other brands received conditional approvals for a Utah-based industrial bank.

Read More →
Photo of the rear of a new BMW iX SUV
Industryby Hannah MitchellMay 12, 2026

New-Vehicle Prices Rise

With April sales down, higher prices on in-demand large vehicles helped inflate the overall ATP, though increases were under long-term averages, Cox Automotive reported.

Read More →
Ad Loading...
Graphic of car segments' results the previous week
Industryby StaffMay 12, 2026

Black Book: Weekly Market Update

Last week in the wholesale automotive market proved to be a mixed bag, analysts reported.

Read More →
Graphic of last week's estimated used retail days to turn
Industryby StaffMay 6, 2026

Black Book: Weekly Market Update

Conversion rates were flat last week at 63%, Black Book analysts calculated, as low-mileage and almost-near units outpaced the overall market.

Read More →
cargo ship with vehicles, at dock
Industryby Lauren LawrenceMay 5, 2026

EU Auto Association Urges Action

Trade relations between the European Union and the U.S. are at risk, causing the European Automobile Manufacturers Association to push lawmakers to make a decision.

Read More →
Ad Loading...
two people working on a paper contract together
IndustryMay 1, 2026

Driving into the Super CFC Era

Understanding the risks and benefits of retail accounting and Super CFCs can help you better present options to your dealer partners.

Read More →