Crackdown on whiplash injury claims

Reform of the car whiplash injury claim system "cannot come soon enough", the AA has said.

Whiplash injury claims cost insurers more than £2 billion last year, adding around £90 to the cost of a typical car insurance policy, said the AA.

The comments came as ministers hosted a motor insurance summit in London, with the Government expected to outline measures to "weed out" false claims.

The measures could include proposals to tackle "questionable" medical evidence and encourage insurance companies to challenge dubious claims.

The AA said that over the past two years, claims for whiplash injury contributed to the biggest car insurance premium increases ever recorded. Over the two years, the average shop-around quote for a comprehensive policy rose by nearly 50%, the AA added.

Simon Douglas, director of AA Insurance, said: "I hope that the Government announcement will see a tight timescale applied to reform of the civil litigation which at present, encourages people to make a claim regardless of how serious their injury is or even if they have not suffered injury at all.

"Importantly, we need reforms that clamp down on cold-call claims management and personal injury firms who have contributed to the growth of claims."

Mr Douglas said he was disappointed in the slow rate of progress shown in the House of Commons Transport Committee's latest report on motor insurance, published in April.

Justice Secretary Kenneth Clarke said the Government's plans will aim to tackle questionable medical evidence and make it "quicker, cheaper and easier for valid injury claims to be dealt with through the small claims court".

Proposals, to be outlined in a consultation document this summer, will include consulting on the feasibility of introducing independent medical panels which would replace the current assessment of whiplash injuries by either GPs or doctors employed by medical reporting organisations.