Should the Personal Injury Claim Arbitration Limit Be Raised?

p>If you are injured in an accident and it was notcompensation claim and the associated legal costs,
your fault, you are entitled to make a claim forand any raising of the limit will benefit them on both
compensation. Once you have decided that you wishcounts.
to make a claim, you duly contact a solicitor or claimsIn addition, the suggestion is that claimants can
management company for advice and set the wheelssubmit their own claim on a form provided by the
in motion. The professionals then guide you throughinsurer, and the insurer will make an offer of
the process until your claim is concluded. Meanwhile,settlement, based on that information and,
you get on with the important task of recoveringpresumably, a mutually agreed medical report. This
from your accident as quickly as possible. This is,suggested plan is said to considerably cut the time a
ideally, how the system works.claim takes from beginning to end, without affecting
Ultimately, a solicitor handles your claim, either directlysettlement values. How can this be so?
or via the claims management company. In order forOn the one hand, there are calls for injury claims
that solicitor to work on your behalf, he expects tocompanies to be professionally regulated and to offer
get paid. His/her bill is paid by the third party insurersunbiased advice (a good thing) and on the other
if your claim is won. However, if your injury claim ishand, there is a suggestion that a body with a
worth less than £1000.00, the solicitor is notvested interest in minimising claim settlement values
entitled to costs. Needless to say, your claim is(Insurance companies) should be in control of the
assessed early on to establish if it is likely to reach aprocess.
value of £1000.00 or not. The vast majorityIf the arbitration limit rose to £5000.00, that
exceed that value and the solicitor is able to get onwould cut over 50% of valid injury claims out of the
with the job of working on your behalf.legal system and straight into the control of insurers.
So what happens if the arbitration limit (the point atIf injury victims still felt they needed professional
which legal costs can be applied to a case) is raised?representation, (and many would want this for a
The simple answer is, solicitors will take on less claimsnumber of reasons), they would end up paying for
unless they are likely to reach the new minimumthat representation out of their own pockets which
value. There is talk of raising the arbitration limit toultimately means, they would not receive 100% of
£2500.00 or even £5000.00.their compensation. Isn't that exactly what the
Insurance companies view this as a positive wayproposed Compensation Bill is trying to tighten up on?
forward. Not surprising as they ultimately pay for the