Roach Pittis Solicitors
Compensation culture urban myth
The Association of British Insurers
(ABI) has called for an end to the
UK’s’ ‘have a go’ compensation
culture.
They have also urged the
Government to implement Lord
Justice Jackson’s proposals to reform
the compensation system in full via the
Legal Aid, Sentencing & Punishment
of Offenders Bill, which is currently
before the House of Lords.
According to the ABI, the growth
in spurious and exaggerated personal
injury claims and excessive legal
costs has resulted in higher costs for
consumers, Local Authorities and
the NHS, as well as making it harder
for genuine claimants to obtain
compensation.
Responding to the report, the
Law Society, which represents both
Claimant and Defendant Lawyers,
accuse the ABI of pumping up the
myth about a so-called compensation
culture and accuses the insurance
industry of spreading obfuscation and
confusion about the existence of a
compensation culture.
A little over 12 months ago Lord
Young prepared a report to the
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Prime Minister on these issues and
found that there was no such thing
as a compensation culture. He found
instead that there was a perception
of such a culture often fuelled by
misreporting and assertion.
My experience as a Personal Injury
Lawyer over my last 30 years of
experience tells me that there is no
compensation culture. My clients have
been genuinely injured in road traffic
accidents, accidents at work, trips and
slips on highways and by products that
have failed to operate correctly.
I am sure that from time-to-time
there are people who abuse the system;
however my experience is that they are
not the norm. The vast majority of
people who make claims simply want
to put themselves back in the position
they were before the accident. The
compensation they receive never really
compensates for the distress, pain,
discomfort, the worry and financial
loss that they suffer.
As a result of people making
compensation claims, insurance
companies:
Make the cost of insurance higher,
for particular groups of motorists who
are more likely to have accidents.
Make employers have safer systems
and practices of work so they don’t
injure their employees and make
employers think about health and
safety as well as profitability.
Ensure that owners of buildings keep
them properly maintained.
Ensure Local Authorities continue to
maintain pavements and highways.
A genuine health and safety culture
and better road traffic awareness are
the by-products of personal injury
claims.
In his report to the Prime Minister
Lord Young clearly shows statistical
evidence to prove that there is
no compensation culture. It is
interesting to note that the ABI have
not highlighted and promoted that
Government report.
Roach Pittis Solicitors
62-66 Lugley Street,
Newport PO30 5EU
01983 524431
www.roachpittis.co.uk