Lawford Kidd's Blog

The Law Society has criticised the government following their proposal to raise the small claims limit for personal injury claims to £5,000 and stop compensation payments for road traffic accidents and other such injuries.

The society has been critical of the changes as it believes that the system will result in unfair legal action as those who are entitled to and need compensation will be unable to obtain it.

Change to Small Claims Limit

The changes, which were announced in the Autumn Statement, saw Chancellor George Osborne raise the small claims limit and scrap damages for ‘minor’ soft tissue injuries. The government proposals would also see the removal of legal costs by transferring personal injury claims of up to £5,000 to the small claims court.

A survey from the Institute and Faculty of Actuaries (IFoA) has found that the legal costs for making third party whiplash-type injury claims has fallen by 65%.

According to the IFoA, the introduction of the Legal Aid Sentencing and Punishment of Offenders Act 2013 has not only led to a reduction in the cost of legal fees, but also a reduction in the cost of making a genuine whiplash claim. The introduction of the act has also led to a decrease in the number of bogus claims throughout the UK.

The IFoA findings show that the cost of whiplash-type bodily injury claims has fallen by 19%, with the frequency of the claims also dropping by 12% from the previous year.

Motorists who drive too close to the car in front are the target of a new campaign to reduce the number of whiplash injuries.

“Tailgating can result in crashes and injuries which could otherwise have been avoided. All it achieves is suffering for the driver in front and probably a higher insurance premium for the offender,” explained Deborah Evans, chief executive of the Association of Personal Injury Lawyers (APIL). “We’re simply asking for motorists to back off.”

The national not-for-profit safety campaign group has produced a short animated video for social media about the consequences of tailgating, titled ‘A Lesson in Social Graces’.

New evidence about whiplash claims has been launched in Parliament. Based on independent research, The Whiplash Report 2012 dispels common myths about whiplash claims with the aim of clearing the way for sensible debate about the issue.

“The people who suffer these injuries are genuine,” APIL president Karl Tonks told MPs and peers at a House of Commons reception. “Honest claimants are not the problem – the problem is fraud, and fraud must be tackled by all sides working together if we are going to eliminate it.”

Among the research findings is the fact that 80% of whiplash sufferers either report their symptoms accurately or underplay them, and 90% of people seek a medical diagnosis.