Watershed Claims

MOJ launches Whiplash Consultation


The long awaited consultation paper has been published today outlining plans to either scrap the right to compensation or put a cap on the amount people can claim for minor whiplash injuries.

The MOJ hope that capping compensation could lead to a reduction in the average pay-out from £1850 to a maximum amount of £425. The proposals will also require all claims to have a report from a MedCo accredited expert before settlement.

Also in the paper is a proposal to raise the limit in the small claims court for all personal injury claims from £1,000 to £5,000.

Insurers appear to be welcoming this move and hope that if approved this will lead to real savings for their policyholders as exaggerated and fraudulent claims are eliminated from the system.

The consultation will run until 6th January 2017.

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