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Judge slashes $83M punitive award against Liberty Mutual in age bias case - Business Insurance Skip to content Register for free Search Search Log In Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Risk Management Cyber Risks Pricing Trends Mergers & Acquisitions Technology Sponsored Content WSIA RISKWORLD Workers Comp & Safety Workers Comp Cost Control Pain Management Workplace Safety International EMEA Asia-Pacific Latin America People Events BI Intelligence Top 100 Agents & Brokers Best Places to Work 2025 Lists Directories Insurance Pricing BI Stock Index Magazine Current Issue Past Issues Subscribe Women to Watch ALL INsurance Resources Risk Perspectives Sponsored Content Webinars White Papers Judge slashes $83M punitive award against Liberty Mutual in age bias case by Richard Sine P/C Insurers Liberty Mutual May 13, 2026 A Los Angeles judge has thrown out an $83 million punitive damages award against Liberty Mutual Insurance in what the judge had described as the largest age discrimination award in U.S. history. In Slagel v. Liberty Mutual Insurance Company , decided Monday, Los Angeles Superior Court Judge Jon R. Takasugi let a $20 million compensatory verdict stand while describing the jury’s punitive damages verdict as “grossly excessive.” The judge , however , denied Boston-based Liberty Mutual’s request for a new trial and reduction of the underlying award. The case began in January 2017 when Joy Slagel, a former Liberty Mutual claims adjuster, sued the company and two supervisors alleging age discrimination, harassment, retaliation and wrongful termination. A jury trial ended in December 2025 with a verdict for Ms. Slagel for $15 million in past noneconomic damages and $5 million in future noneconomic damages. A second trial phase on punitive damages produced the additional $83 million award two days later. Judge Takasugi found the punitive award legally unsupportable. Applying a three-part constitutional test from a U.S. Supreme Court ruling, he noted that the harm to Ms. Slagel was emotional, not physical; her financial vulnerability was limited; and the ratio of punitive to compensatory damages was too high. The judge also found the record lacked the clear and convincing evidence of malice, oppression, or fraud required under California law to support punitive damages. Ms. Slagel’s harassment testimony, the court said, “relied on her own subjective perceptions, rather than actual evidence that any employee made derogatory comments to her, physically harmed her, or disregarded her health or safety.” The compensatory award stood because the judge found substantial evidence that Ms. Slagel’s supervisor favored younger workers and may have used the stated reason for Ms. Slagel’s termination — a dispute over a report ordered for a client — as a pretext for firing her. The court also rejected Liberty Mutual’s argument that plaintiff’s counsel committed misconduct during trial. The attorney for Ms. Slagel promised to appeal. Justin Shegerian said Liberty Mutual had produced a handwritten document describing “hiring of a lot of young employees” as an explicit “strategy.” “This is exactly the kind of intentional, unlawful conduct punitive damages are designed to punish and deter,” Mr. Shegerian said in a statement. 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