Claims Companies and Injury Solicitors Culpable for Rising Car Insurance Costs

Over half of UK motorists believe claims firms and injury lawyers are to blame for the high cost of motor insurance, new research has revealed.

A survey carried out by OnePoll for claims mediation specialist InterResolve found that some 52 per cent of drivers believe the two groups are culpable for current premium levels, which 85 per cent of drivers think are unfair.

Just under a fifth of those polled also singled out insurance companies, with 18 per cent saying they should shoulder the blame.

When quizzed on the current insurance claims system, 67 per cent said they believe it is a lengthy and confusing process, while 56 per cent admitted they refrain from making a small claim due to this perceived complexity. Only 8 per cent of respondents found the system easy to understand.

InterResolve chief executive Simon Drew said the findings showed there was an “obvious demand” from the UK’s motorists for a cleaner, simpler claims process.

“Many feel hard done by, by the many parties involved in the claims process who are supposed to be acting in drivers’ best interests,” he commented. “It’s clear that the recent referral fees debate has addressed, but not resolved, the issue.”

The research also revealed that some 53 per cent of drivers, if given the option, would consider mediation to settle a small claim instead of the traditional legal approach.

Mr Drew added: “The most important finding however is that the majority of people would be very receptive to an alternative process such as mediation if it was offered to them. It is therefore alarming that it isn’t.”

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