The 2026 statutory updates to the New York Civil Practice Law and Rules (CPLR) and insurance law mark a major change in civil litigation and claims handling. Together, these reforms move the law away from allowing payouts when fault is high or injury proof is weak.
These reforms instead give defendants and insurers more protection from baseless or exaggerated claims. Understanding these changes can help carriers, adjusters and defense counsel prepare for the new landscape.
The transition to modified comparative negligence
The move from pure comparative fault rule to the new modified rule marks a significant shift in how courts determine recovery in motor vehicle accidents. Under the previous system, a plaintiff could still recover damages even if they were 99% at fault, with the award simply reduced by their percentage of responsibility.
By contrast, the 2026 reform adopts a 51% bar rule, meaning a claimant is completely barred from recovering if their fault is found to be greater than 50%. This change greatly affects exposure assessments. Courts must now review liability sharing much earlier in discovery to determine not only the likely claim amount, but also whether any recovery is possible.
Understanding the 90/180-day repeal
Removing the 90/180-day category under Article 51 closes a loophole that allows some plaintiffs to sue based on short-term limits on daily activities. Before, a claimant could say they could not do their normal activities for 90 of the first 180 days after an accident. These claims often relied on personal reports of pain or difficulty.
With that category removed, plaintiffs must meet a higher standard. They must prove a permanent serious limitation or a significant limitation of use using objective medical evidence. This makes medical records and review much more important in proving a serious injury.
Strategic implications for insurance carriers
The new rules give defense lawyers more leverage in liability cases because the plaintiff cannot recover damages if their fault is more than 50%. Removing the 90/180-day category should also cut down on low-value soft-tissue claims and lead to more motions for summary judgment and dismissal. Because of this, early investigation, including dashcam video and witness statements, will be key to showing the plaintiff’s fault.
A new era of defense
These reforms create a more equitable playing field for insurers by emphasizing prompt investigations and focused discovery, which can help lead to more efficient claim resolutions. A lawyer can help carriers review and update claim-handling protocols to align with these defense-friendly statutory changes.