December 2016 – Personal Injury Claims Reform

December 2016 – Personal Injury Claims Reform

Thank you for contacting me about the proposed changes to the small claims court.

Whiplash claims are 50 per cent higher than a decade ago, despite the UK having some of the safest roads in Europe and a fall in the number of accidents.

As you are aware, the Government has announced plans to introduce measures to end the right to cash compensation for minor whiplash injuries, removing over £1 billion from the cost of providing motor insurance.

These changes are intended to end the cycle in which responsible motorists pay higher premiums to cover false claims by others, and the Government expects the insurance industry to pass on to consumers an average saving of £40 per policy.

The Government is also proposing to increase the upper limit for small claims from £1,000 to £5,000. This will allow more people with injuries to access the court. Plans also include the introduction of a transparent tariff system of compensation payments for claims with more significant injuries.

The Government has launched a public consultation on the details of these proposals. The consultation is open until 6th January 2017 and more information can be found on the below webpage:

https://consult.justice.gov.uk/digital-communications/reforming-soft-tissue-injury-claims/

I will be waiting for the outcome of that consultation before responding to the proposals which will ultimately follow from it, but I do hope you will take the time to submit your views on this issue so that they can be considered at this stage.

 

Thank you again for getting in touch.