COURT OF APPEAL JUDGEMENT ON PLEURAL PLAQUES SENDS A STARK WARNING TO CLAIMS FIRMS SEEKING TO EXPLOIT COMPENSATION SYSTEM

Commenting on today’s Court of Appeal judgement that pleural plaques is not a compensatable condition, Nick Starling, the ABI’s Director of General Insurance said:

“The ABI welcomes the legal clarity this judgement brings. It sets out that medical conditions that have no impact on health are not compensatable. This will help claimants understand what conditions are eligible for compensation, and insurers to know when they may be liable.

“This judgement is a stark warning to claims firms who seek to exploit the current compensation system by misleadingly raising expectations of the public. The Government intends to regulate these firms. They should do so quickly so that people who believe they are entitled to compensation get a better service.

“Insurers are committed to paying fair compensation as quickly as possible to all claimants who are legally entitled to it. Insurers pay out over £4.5 billion in personal injury compensation a year. Because the industry wants to pay this compensation more quickly the ABI recently put forward our blueprint for reform. We urge the Government to embrace reform so that compensation claims can be settled much more speedily.” 

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Notes for Editors

1.            Enquiries to:       

         Malcolm Tarling    020 7216 7410 (Mobile: 07776 147 667)

         Lucy Butler        020 7216 7411 (Mobile: 07712 841 184)

         Jonathan French   020 7216 7392 (Mobile: 07958 330 480)

        Alan Leaman    020 7216 7440 (Mobile: 07957 482 330)

2.      Care and Compensation, the ABI’s proposals for reform of the UK personal injury compensation system, is available on: www. abi.org.uk. ABI proposals for a faster, simpler compensation process would reduce the time taken to settle the average personal injury claim from three years to six months in 90% of cases.

3.      The ABI is the trade association for Britain’s insurance industry. Its nearly 400 member companies provide over 94% of the insurance business in the UK. It represents insurance companies to the Government, and to the regulatory and other agencies, and is an influential voice on public policy and financial services issues. ABI member companies hold more than a fifth of all investments traded on the London Stock Exchange, on behalf of millions of pensioners and savers.

4.      An ISDN line is available for broadcasts.

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