Insurance news
Prime Minister in Driving Seat on Tackling Whiplash Claims
17 February 2012
Prime Minister David Cameron has come out and said that he is to liaise personally with a quorum of car insurers in order to curtail the rise in premiums by cutting the number of unnecessary whiplash claims. Whiplash is a common complaint from people involved in accidents and is very difficult to certify and even more difficult to disprove.
The Numbers*
£2 Billion a year - The cost of Whiplash claims to the insurance industry
£90.00 - the average amount of your annual insurance premium attributed to whiplash claims
70% - The rise in motor insurance injury claims over the last six years (despite a 23% drop in casualties for the same period)
554,000 - The approximate number of whiplash claims made in 2010 - 2011
£1,200 - The fee that can be earned by a lawyer for a small value personal injury claim.
Insurers and business representatives met for talks at Downing Street aimed at tackling these extraordinary costs. According to Downing Street Britain has become the "whiplash capital of Europe" apparently throwing around 1500 claims every single day for accidents where damage and speed is extremely minor. Close scrutiny was paid to the measures taken by European counterparts, particularly in Germany where a claimant must obtain two medical opinions in order to successfully claim. In addition there is a minimum speed of 10kph (about 6.2mph) before being able to claim for whiplash however it is notoriously difficult to establish speed without witnesses.
Cameron has stated that he is "determined to tackle this damaging compensation culture" and that he wanted to stop "trivial claims". As insurance brokers we have had experience of very minor knocks ending in third parties claiming for whiplash. One of the main issues with whiplash is that it is a self reported injury. There is no magic scan, x-ray or conclusive medical procedure that can prove injury. As a result if a third party claims for whiplash the insurers have to claim that the third party is lying and committing fraud which has to be proven - you see the predicament. Accordingly the governments efforts are focused on liaising with the industry in these focus groups to try and put a barrier in front of the easy process currently in place and the growing claims culture we now live in.
Transport Secretary Justine Greening stated to the BBC that she thinks "too often they're [motorists -ed] are encouraged to make a claim for compensation for some kind of health issue" The association of British Insurers (ABI) are embracing the governments interaction and suggest that they hope it tackled an industry which was "swamped with exaggerated or even fraudulent claims".
So what does this mean for motorists. The simple fact that these discussions are being had would seem to go some way to bringing about a shift in thinking. A change in the law might take some time but with leading insurers such as Aviva, Admiral and AXA involved in these discussions and seemingly keen for change it follows that others might form an orderly queue for change.
*source - www.bbc.co.uk
A New Chapter in Fairweather Insurance’s Support of the Local Community - 3rd January 2012
Further to recent posts which you may have come across in our Blog we are extremely pleased to be in a position to confirm our support to the local community having become the principal sponsor of the Chalfont St Peter Community Library. You will be able to see exciting news concerning the library and its progress on these pages however in the interim we would invite you to take a look at some words from Buckinghamshire County Council.
Chalfont St Peter Community Library gets ready to launch
FROM today (Tuesday 3 January), Chalfont St Peter Library will start the process of converting to a community-run library.
Staff from Buckinghamshire County Council will work alongside volunteers and members of the Library Management Committee over the next few weeks to provide training on the job, and ensure a seamless transition for customers. After training, BCC libraries staff will continue to be on hand for advice and hand over day to day running to the committee.
The community-run library will be officially opened on Saturday 28 January at 2pm by Cheryl Gillan, MP for Chesham and Amersham.
Martin Phillips, Buckinghamshire County Council's Cabinet Member for Community Engagement said: "Chalfont St Peter's Management Committee has been working hard to recruit volunteers and rally local support for their library and we are excited to be entering into an working partnership with them to ensure the library is sustainable for the future.
"We are working closely with the community, and our staff will be supporting the volunteers in the first few weeks to ensure the transition is as seamless as possible for customers. There is real passion in the community to support the library and I am confident it will become a vibrant and welcoming focal point for many residents."
In addition to BCC, the Library Management Committee will be working with Fairweather Insurance Services Ltd, after securing a sponsorship deal with the local company.
"Fairweather Insurance Services, have agreed to become the library's principal sponsor. Their generous support will help to secure the long term future of the Community Library in the village, and shows that links between the private sector, the public sector and the local community can be built to the benefit of all," said Steve Poole, Chairman of the Chalfont St Peter Community Library Management Committee.
John Upton, Managing Director of Fairweather Insurance Services said: "We've been supporting local groups for many years and are very pleased to extend our sponsorship to the Chalfont St Peter library. We arrange insurance for many local businesses and individuals in this community and see this as a great opportunity to give something back."
Steve said the Library Management Committee had been working with the community to tailor their plans and ensure the library would be a friendly and welcoming place with local knowledgeable staff. In the future, the committee plans to expand the book selection, put on events and activities to bring the community together.
Steve added: "This is an exciting time for the library. The hard work of the residents of Chalfont St Peter and County Council staff has resulted in the library remaining open in the village, and I would like to thank all those who have been involved and supported us over the past year."
The Friends of The Chalfont St Peter Community Library has been established to allow people who may not be able to give their time to the Community Library to contribute by providing funds to allow the Community Library to develop its activities. Being a member of the Friends allows individuals a say in the running of the Community Library through its general meetings and by becoming a member of the Management Committee.
See News from 2011 here...
