According to insurance provider Aviva, the largest insurer in the UK, the levels of whiplash claims being made by motorists are set to reach record levels.
The number of compensation claims made this year is expected to reach 840,000, almost a record-high, and Aviva says that this is due to the compensation culture in the UK. In France, claims involving whiplash only make up 3 per cent of motor injury claims, compared to a massive 80 per cent in the UK.
Aviva argue that there are far too many excessive or fraudulent claims being made, which has led to the increases in costs. This has resulted in car insurance premiums costing £93 more each year.
The popularity of no-win, no-fee claims is also being attributed to the rise of claims being made. This means that if a motorist pursues a claim, but is not successful, then they do not need to pay fees to their legal team.
This has led to Aviva calling for a number of changes to the law, such as reducing the time-period for claims from three years to one, and that symptoms must last for at least three months. However, the government stated that action has already been taken to combat people abusing the system, with Lord Faulks, justice minister, saying:
“We have banned law firms from offering inducements to potential clients, and changed the law so that courts can throw out claims in cases involving fundamental dishonesty.”