Crash cons crackdown

Bill to stop bogus whiplash claims

A CLAMPDOWN on bogus whiplash accidents could save drivers £1billion a year.

The Government yesterday announced new rules to tackle what they called the “easy payday” for swindlers putting in dodgy insurance claims. Measures in the new Civil Liability Bill include setting fixed amounts of compensation and banning claims without medical evidence.

Ministers reckon it could save every driver £35 each, which insurers have pledged to pass on to motorists.

Personal injury claims involving traffic have jumped 50 per cent in a decade, despite a fall in the number of reported accidents.

The rise has been fuelled by “predatory parts” of the claims industry which encourage minor, up 18.3 exaggerated and fraudulent claims, the Ministry of Justice said.

Justice Secretary David Gauke said: “The number of whiplash claims has been too high for too long and is symptomatic of a wider compensation culture.”

Ministers also confirmed plans to change a calculation used to determine the size of personal injury compensation payments after a backlash over rising costs for drivers and the NHS.

Huw Evans, of the Association of British Insurers, said: “If passed, these proposals would be great news for motorists.” However, the £35 a year saving is less than previously forecast.

Meanwhile, increasing repair costs because of more expensive car parts have pushed the average annual comprehensive policy up nine per cent to £493 in the past at 7061.3 GKN GlaxoSmithKline Halfords Hays HSBC Imperial Brands International Airlines Grp ITV Kingfisher Land Securities Legal & General Lloyds Marks & Spencer Morrison National Grid Next Old Mutual Pearson Prudential Reckitt Benckiser RELX 424.8 1297.4 346.6 191.4 699.1 2372.5 629.2 144.9 337.7 947.2 264.4 67.9 272.0 208.8 761.3 4752.0 247.5 764.0 1903.0 5634.0 1473.5 Oil +0.6 -4.4 +0.2 +0.1 +3.5 -41.5 +4.4 -0.7 +0.2 +10.4 +3.4 +0.7 -0.6 +0.6 -4.6 +43.0 +4.7 -1.2 +24.5 -43.0 -7.5 = $67.22 Rentokil Initial Rio Tinto Rolls-Royce Royal Mail RSA RBS J Sainsbury SSE Severn Trent Serco Sports Direct Shell Sky Smith & Nephew Smiths WH Stagecoach Standard Chartered Standard Life Aberdeen TalkTalk Taylor Wimpey Tesco 269.4 3658.5 903.4 525.0 630.0 263.5 233.5 1212.0 1726.0 89.1 374.1 2229.5 1310.0 1314.5 1994.0 135.6 749.7 375.1 108.1 187.9 206.9 +4.5 +47.0 +11.0 +0.8 +5.4 +5.9 +0.1 -7.5 -19.0 0.0 -2.9 +28.0 0.0 -5.5 +3.0 +0.9 -5.1 +2.2 +1.1 +2.8 +0.3 Thomas Cook Unilever United Utilities Vodafone Trinity Mirror 119.8 3767.5 677.4 196.7 87.6 +0.2 -8.5 -12.8 -1.9 -0.2