Soldiers, sailors and airmen won a record £40m in compensation last year, a report claimed. Twelve years ago the total paid out for personal injury claims was £1.6m.
It attributed the increase to a rise in compensation culture within the armed forces.
According to the report, defence Minister Ivor Caplin is to discuss the problem with his US counterparts next month.
The purpose of the talks is to discover how the Pentagon managed to stop the increase in compensation claims within the armed forces in a highly litigious society.