Report comment

There are clearly concerns across all aspects of the Claimant and Defendant Industry, along with the Government itself with this genius initiative.

1. There is no mention of the fees recovered by Claimant Solicitors for the cost of treatment in the NHS, this will virtually eliminate the recovery of treatment costs for the NHS, leaving them to foot the bill themselves.

2. MOJ Portal - Simply what would be the purpose of this with this change - It has cost Millions to put this process into operation and again will virtually kill this process. Also to point out that Insurer will again have savings by no longer having funding into the administration of the Portal....more premium reductions you say, I very much doubt this.

3. Job losses - Obvious side effect - Maybe time to take out some Unemployment Protection Insurance.

4. The Courts - What seems to be missed is how much the Claimant/Defendant firms assist the Court in Litigation, by ultimately saying that people can bring their own cases against a Party, which is what this will entail, then the Courts are undoubtedly going to be over run with the additional work whilst not being able to obtain the fees/funding they once did.

5. There is no mention of removing whiplash claims from EL/PL etc - It is absurd to see how the Government can determine that you can't claim for whiplash/soft tissue in an RTA, but it is ok in other Insurance boundaries.

It is a very bold statement for the Government to declare this action is to fight fraud and give money back to the public (A very Robin Hood approach here Osborne) - I very much doubt this will happen and is not regulated anyway. The Insurers will enjoy the profits.

It is also worth pointing out that with the changes to Legal Costs, lets take the Portal for example the Insurer's are now saving approximately 60% in what they have been paying in legal costs and yet premiums appear to be increasing.