Whiplash changes welcome - but more needs to be done

Moves by the Government to make changes to the system of insurance claims around whiplash injury have been welcomed by almost all concerned – and whiplash reform is long overdue.  

But as with most things in life, there’s a danger of over-reacting which could mean that innocent victims of road traffic accidents with genuinely life-limiting injuries could lose out.

Ministers have promised to save UK motorists’ insurance costs money by dealing with what they describe as the “compensation culture”. And first in line for reform are whiplash claims which have gained a reputation as the most commonly bogus, and most abused, area of compensation associated with traffic accidents.

Independent medical panels are to be established which will attempt to identify both exaggerated and simply fraudulent claims for whiplash injuries.

As the law stands, insurers are able to make an offer to a claimant without any medical report. This leaves the system open to abuse, allowing people to make fraudulent claims or, more commonly, to exaggerate their injuries to increase the compensation payment. This causes insurance premiums to be far higher than they need to be for the vast majority of law-abiding motorists

Under the new system, insurance companies won’t have to pay out for whiplash claims in the absence of a medical report from an independent medical practitioner.

This is long overdue; the UK has a far higher occurrence and compensation payment level than the rest of Europe, whilst insurance payments’ inexorable rise showed no signs of slowing until recently. Now, however, statistics generated by the AA show that motor insurance premiums are coming down at their steepest rate since 1994. In fact, rates fell by a whopping 12.3%, on average, for comprehensive cover over the October 2012 to October 2013 period.

However, solicitors firms like Blaser Mills and others are concerned that legitimate road traffic accident victims may become deterred from seeking justice and proper compensation for their very genuine injuries.

The truth is that genuine whiplash injury can be extremely debilitating for short or long periods of time depending on their type and severity. But the whiplash injury-generated negative publicity already deters many genuine claimants from making a perfectly legitimate claim. Time off work for whiplash injury often draws something of a “wry smile” from employers, whilst for self-employed people, time off work simply isn’t an option save for the most severe injuries.

So there is something of a danger of throwing the baby out with the bath water, though overall the Government’s measures have been welcomed by insurance organisations, motoring organisations and health practitioners alike as the UK begins rid itself of its reputation as Europe’s whiplash capital.