posted on 23 11,2017 / 6:46 am
In a bid “to crack down on the compensation culture epidemic” this announcement on 27 Feb revealed the reduction from the average amount of £1,850 to a maximum amount of £425. Additionally, they stated that personal injury compensation will only be paid out if there is a medical report provided. This will be effective as from 01 October 2018.
To make an effective claim go to Step by Step Guide to making personal injury claims.
This cap on small claims and payouts for whiplash injuries has come as a result of injury claims in the UK being 50% higher than a decade ago. This is despite the fact that we have some of the safest roads in the EU. On top of that, declining motor accident statistics.
“For too long some have exploited a rampant compensation culture and seen whiplash claims an easy payday, driving up costs for millions of law-abiding motorists,” said Ministry of Justice Secretary Liz Truss. “These reforms will crack down on minor, exaggerated and fraudulent claims.”
As a result, millions of motorists could see their car insurance premiums reduced. The government said insurers have pledged to pass on the savings, worth about £40 a year.
Other proposed measures include:
The Association of British Insurers (ABI) welcomed the consultation, saying the proposals would “give honest motorists a better deal”.
Although Mark Godfrey, the director of the RAC, welcomed the plan he stressed the importance of not putting those who had true injury claims at risk.
Find personal injury claims solicitor’s nearby to assist you with your whiplash claim.