| A new free-to-use consumer service has been | | | | request our help with potential claims.” |
| launched aimed at helping remove the need for | | | | To use the service, consumers simply visit the |
| people to use accident management firms to handle | | | | website to detail the location and circumstances of |
| routine personal injury claims. | | | | their accident. The information is then registered |
| says tens of thousands of people each year could | | | | and the organisation is duly notified of the claim. The |
| easily make their own claim against a range of | | | | defendant will in turn investigate the incident and liaise |
| organisations including supermarkets and strike a blow | | | | directly with the consumer to provide fair |
| against claims firms raking in billions of pounds in legal | | | | compensation if they are liable. |
| costs. | | | | Through liaising directly, consumers benefit from |
| The service will also allow companies, particularly | | | | receiving all of their damages and if a clear breach of |
| those in the retail and leisure sectors, to save many | | | | duty has occurred both the decision and damages |
| millions of pounds they currently pay out in costs. | | | | are dealt with expediently. also allows business to |
| A number of Citizens Advice Bureaux in the North | | | | process claims efficiently and effectively without the |
| West of England are helping clients with potential | | | | delaying tactics sometimes employed by accident |
| claims who choose to use the service. | | | | management companies and designed to increase |
| The consumer friendly website removes the need | | | | their fees. |
| for claimants to use one of the thousands of | | | | Reform to reduce the cost of personal injury claims |
| organisations chasing personal injury claims and hiking | | | | was recently called for by Lord Justice Jackson who |
| up claims with added legal costs. | | | | stated that “the personal injury litigation industry |
| These disproportionate legal costs and other fees are | | | | is populated by numerous interest groups and |
| often invisible to the claimant and can include a chain | | | | middlemen, all of whom have to meet their |
| of middlemen such as referral and medical report | | | | overheads and make a profit on top”. Referral |
| companies. In some cases, the claimant can even find | | | | fees of up to £1000 paid to accident management |
| that these are deducted from their compensation | | | | companies are not uncommon and these fees are |
| award. | | | | then added to a claimant’s legal costs. The |
| Founder and CEO Mark Brickles said: puts the | | | | launch of answers the call for reform by streamlining |
| consumer in control of their affairs and breaks the | | | | the claims process and removing charges. |
| hold that No Win No Fee companies have, resulting in | | | | Successful businessman John Hinnigan, a director of |
| the hiking up of legal costs unbeknown to the | | | | and part of the investment team, said: is the ethical |
| claimant. The service offers consumers access to | | | | solution to break the unscrupulous culture of ramping |
| justice when dealing with compensation claims in an | | | | up legal costs in personal injury claims. |
| expedient manner.” | | | | “Through using software as a solution, has |
| “The withdrawal of legal aid in this area has led | | | | created a straightforward process for consumers to |
| to a system of No Win No Fee arrangements that | | | | remain in control of their claim and receive all of their |
| often involve high legal costs and delays with | | | | awarded compensation with minimal disruption. For |
| outcomes. | | | | organisations, it reduces costs significantly, provides |
| “Few consumers understand the risks and | | | | early decisions on liability and enables businesses to |
| potential financial liabilities they are exposing | | | | meet their own customer and social |
| themselves to when they sign up to conditional fee | | | | responsibilities.” |
| agreements and do not realise they may be liable for | | | | In 2007, it was calculated that £4.4billion was paid |
| certain unpredictable hidden costs. | | | | out in legal costs for personal injury claims, while the |
| offers consumers direct control of their personal | | | | Association of British Insurers reported that, for |
| injury claims and is a viable alternative to the use of | | | | claims below £5,000, every £1 in compensation led |
| claims management firms. We will assist clients who | | | | to 93p of additional claimant legal costs. |