201212.02
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Clampdown on bogus whiplash claims

Over the last few years we’ve seen a huge rise in the number of claims being made for whiplash, and the government is concerned that a lot of these so-called “claims” might not be rooted in the truth. Fraudulent claims are on the rise and that’s meant insurance premiums are higher to accommodate them, so the government is clamping down by making it harder for people to seek and receive compensation.

The Issue

Whiplash claims related to road accidents have risen by 60% in the last four years, despite there being a 20% drop in the number of accidents and the fact that cars are generally becoming a lot safer. This has put a huge amount of pressure on insurance firms and their customers—it’s been estimated that these claims cost in the region of £2billion in 2010 alone, and that’s meant premiums have had to rise by around £90 per policy.

This, of course, is something that no-one wants to have to put up with, particularly honest drivers that have to bear the brunt of fraudulent claims. The main issue is that it’s been far too easy for customers to make a claim, with it generally being cheaper for insurance companies to pay out rather than contest those which could be questionable, and that’s led to a distinctly compensation-driven culture where people have been able to abuse the system.

The Solution

The government hopes to make it harder for people to get compensation by making the claims procedure for whiplash more rigorous. One way in which they hope to do this is to create independent medical panels to improve the diagnosis of whiplash injuries to determine those that are genuine or otherwise, making it much harder for fraudsters to get their way. They also want to give the option of more compensation claims being challenged in the small claims court, potentially making it easier to target those that are trying to defraud the system.

The new way of operating aims to weed out claims that are fraudulent whilst ensuring those that are genuine can still be upheld, with the ultimate goal being to reduce the amount of fraudulent claims so no-one has to pay extortionate rates as a result. Exaggerated claims cost everyone money and this new system should ensure honest motorists don’t have to foot the bill, and with such potential for cheats getting found out it’s hoped it’ll put an end to compensation culture once and for all.

Get The Advice You Need

Of course, if your claim is genuine you’re going to need the experts on your side to help take your case forwards, and that’s where we come in. We realise the importance of being totally transparent and will work hard to ensure you get the most favourable outcome, so don’t think this clampdown on fraudsters has to mean the end—if your claim is genuine there’s still a very real chance of getting a good settlement, so get in touch to discuss your personal injury claim and we could soon take your case forwards.