posted 4 years ago

Report: Outlaw Whiplash Payouts Before Medical Assessment

Transport Committee Report Calls For Changes To Cut Motor Insurance Premiums

A Transport Committee report is encouraging the government to “outlaw insurance payouts for whiplash” before claimants have been medically assessed. The report – which evaluates the pros/cons of government plans to tackle fraudulent and exaggerated claims – is the fourth of recent times and focusses heavily on this type of claim. It concludes that “while premiums are now falling” certain “aspects of the market remain dysfunctional and have encouraged criminality to take root.” Further action, the report emphasises, is “required to tackle fraud whilst protecting genuine claimants”. It also concludes that solicitors should be prevented from commissioning medical reports from “experts who are not genuinely independent”. These are of suspect merit, after all.

Government Definition Of Whiplash And Number Of Claims

The government defines whiplash as “neck pain which occurs after the soft tissue in the spine has been stretched and strained when the body is thrown in a sudden, forceful jerk.” The problem is that “there is no generally accepted objective test for a whiplash injury”. There are, after all, “no physical manifestations” and it “cannot be diagnosed using a CT or MRI scan.” This encourages people to exaggerate injuries, then claim compensation. Numbers – some of which were genuine - peeked in 2010/11 at five-hundred and sixty thousand. Such claims increase the cost of insurance as the payouts come premiums. Furthermore, some solicitors encourage people to claim via incentives such a free tablet computer. The report says this practice should “be banned”.

Transport Committee Report: Further Recommendations 

The Transport Committee report broadly backs other plans to reduce the fraud and exaggerated claims that increase motor insurance premiums. It therefore endorses the government’s plan to require courts to “strike” dishonest claims, e.g. those involving gross exaggeration. It does, however, recommend caution against introducing hasty legislation as there are complicated legal implications to consider. Furthermore, it says that data sharing relating to potentially fraudulent claims between insurers/claimant solicitors should be compulsory (rather than voluntary as proposed). The report also encourages the government to oversee funding arrangements for the police Insurance Fraud Enforcement Department. This could ensure it has a long-term future. Furthermore, it welcomes the proposal for independent medical assessments but emphasises that more work is required on implementation. Finally, it calls on the government to push the Solicitors Regulation Authority to stop law firms playing the system to maximise revenue by “commissioning unnecessary psychological evaluations”.


What about the collusion between the insurance companies and personal injury solicitors? My wife was told that she should make a claim even though she was not in the car at the time of the accident by a solicitor 10 minutes after the accident occurred. How did they get her mobile phone number?

The issues have arisen ironically as a means of reducing cost to insurers, The use of the MOJ portal was implemented to allow settlement following the same protocols as a court without the cost.The issue's that have arisen are due to not requesting pre-medico reports,and not having independent medical people assessing the claimants.It cost 2k to pay out on whiplash, and 3k to defend in court, as the insured is still liable.There will be changes coming through the recent CMA /CC investigation, and a 4th report/investigation now has been created.The insurer's created the very situation of increased claims,by the very act of trying to reduce cost.The report stating that whiplash cannot be determined is incorrect,a experienced physiotherapist can determine quite quickly, and the cost involved is minimal in relation to a total claim.What needs to happen ,is where a claim is false or exaggerated,the claimant becomes liable for cost.What can also be done are comparison reports establishing damage to both vehicles, locus reports to establish speed and circs, and the probability of whiplash happening.

A medical should always be part of the process, however lets make sure the Doctor is English speaking and makes a proper assessment rather than filling in the Insurance company's form.

I am outraged that the government allows insurance companies just to cash in the premiums they receive from their customers and not using part of their astronomical profits to investigate the claims. What they have been doing is just passing the cost of the criminal claims to the honest insurers. Change the law and include insurers as responsible for the investigation of claims and not able to penalise the blameless parts . Currently they do not pay out and increase premiums for any claims regardless. Criminal behaviour and government allowing.

Total agreement having had my first accident in 27 years stopped for reason even lewis hamilton would have first thing i said to him whip lash he never replied to numerous insults But it has put up my insurance premium wrote off a good kept car lost out 1 on the payout of car 2 £350 access Tried all i could with insurance company got nowhere they should be made to pay not people honest people like me LOCK THEM UP