It would be extremely naive to believe that the Association of British Insurers' compensation system proposals are centred on anything other than cost-cutting and loyalty to its members' shareholders (see [2006] Gazette, 9 February, 14).

Regardless of how they are presented, the proposals are not aimed at 'getting the right result for genuine claimants'.


Claimants are continually suffering at the hands of insurers who repeatedly try to under-settle claims, and deny liability in even the most straightforward of cases. It is nothing short of hypocritical to criticise the current system as being too slow when, as research by the Association of Personal Injury Lawyers shows, two-thirds of defendants, on average, fail to admit liability within the first three months of a case, even though liability is admitted in the end. This research also shows that, on average, final agreed settlements are 50% higher than the initial offer of compensation made by insurers. 


We are all keen to improve the system's efficiency, but this should be done through improvements to the current scheme. There is no appetite for quick fixes or fresh starts that are built on a desire to increase profit margins.


Denise Kitchener, chief executive, Association of Personal Injury Lawyers, Nottingham