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Could time be running out for whiplash claims?
Could time be running out for whiplash claims?
New measures on personal injury laws, including setting a minimum speed limit for whiplash claims, are being discussed by politicians and key insurance industry figures after concerns that the UK is headed for a US-style compensation culture. In recent years insurance premium costs have soared with many blaming the increases on the huge number of personal injury claims forcing insurance companies to often pay out more in financial compensation than they receive in revenue from selling car insurance.
Time could now be running out for many types of whiplash claim as the new measures are likely to be introduced after a government transport minister criticised the way in which personal injury firms are alleged to encourage people to claim for accidents, even if they have not been injured. The sheer number of claims for personal injury have compelled insurers to increase their premiums to cover their costs, so the burden is falling on the average motorist, with many facing increases of over £200 on their premiums last year.
The cost of whiplash claims to the motorist
Yet personal injury lawyers are concerned that if the law is changed this could affect genuine claims for personal injuries such as whiplash. Personal injury legal firms now want to meet with the government to discuss the proposals to change the legislation on making claims for accidents, after Mike Penning – the road safety minister – accused some personal injury firms of being ‘ambulance chasers’ and being to blame for the ‘huge burden’ caused by fraudulent claims for personal injuries on the motor insurance companies, who then pass on the cost in premiums to law abiding motorists.
Nicolas Jervis, Managing Director of personal injury specialists 1stClaims says: “These remarks are offensive to the profession in which we work, and irresponsible since all we are doing ensuring that victims of accidents get the compensation they deserve and need to recover and get on with their lives.”
Minimum speed proposals
Now the UK government could introduce new minimum speed limits for which personal injury claims can be made, which could mean time is running out for many types of whiplash personal injury claim. As many claims for accidents are made with a personal injury lawyer on a no-win no-fee basis, these proposed new measures could see a rapid decline in the number of whiplash claims made in the UK. But the Law Society – the organisation that represents the legal profession – has hit back at the proposals, claiming that the law should be there to ensure that those harmed by other’s negligence should be entitled to compensation.
The Law Society hopes to meet with officials from the Ministry of Justice to discuss the proposed changes to personal injury law and to offer a clearer picture of how the personal injury claims sector works. Meanwhile, a new minimum speed limit for personal injury claims has recently been introduced in Germany.
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