MPs call for action over whiplash claims

| January 12, 2012
MPs call for action over whiplash claims

Car insurance costs are spiralling and claims for whiplash injuries are one of the main causes, according to a new report by MPs, launched today.

Although the number of road accident casualties has fallen by 23 per cent in the past six years, the number of motor insurance injury claims has grown by 70 per cent.

The Transport Select Committee wants people submitting whiplash claims to be required to provide much more extensive proof that they have suffered this type of injury and it also wants the government to impose a higher threshold for compensation payouts.

The Committee warned that referral fees are also pushing up the cost of premiums and it is calling for insurers to be banned from selling customer information.

Insurance companies receive referral fees from solicitors, garages and car hire firms in return for accident details including drivers’ personal data.

Louise Ellman, chair of the Transport Committee, said: “Although we strongly support access to justice, drivers should not be railroaded by cold callers into launching legal action”.

The Committee suggests that the Government should establish a cross-departmental ministerial committee to investigate how the cost of motor insurance can be reduced.

The report was supported by motoring organisations, including the AA.

Simon Douglas, director of AA Insurance, said: “We must kill the compensation culture that has sharply driven up car insurance premiums. The recommendations from the committee are a positive step towards doing that.”

Meanwhile, drivers are being warned that online insurance company, Aston Midshires, is under investigation by Police, Trading Standards and the Financial Services Authority after it allegedly sold invalid motor insurance policies.

The investigation was launched following thirty complaints from drivers who purchased insurance from the firm but found it not to be valid.

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  1. These people are w..kers, they play dangerously with our children’s lives while driving there cars, even pedestrians or other road users that are around these uninsured drivers.

    My son was a victim we paid £1000 cash deposit and direct debits of £104.00 for 10 months our agents was a guy call Tom he sounded in his early 50s and was very professional in the way he spoke, we kept checking the mid data list and eventurly it showed it was insured but when this all came to light I checked askmid and it still showed that we was still insured it was only then we actually spoke to a really helpfully agent at mid he asked me some personal data I.e my sons name and address. When giving the details we found that we was insured with Avila insurance.

    Now I no my son was insured I was releaved but then the guy at askmid asked me for the date of birth of my son wich I gave as 26/07/94 the telephone went quiet then I here mmmmmm you need to get in contact with Avila as the age is incorrect.
    I did this today as the 12/1/2012 and I was shocked my sons address was in slough not fleet haunts my sons birth year was 1953 not 1994 and supises suprise he had 5 years no claims.

    As pedants we do our very best to keep our children safe at all times but what this company has done is disgusting and shameless, I would like to say a lot of harsher words to this but I choose not too but what I will say is Tom who worked at Aston midshire do the desent thing and hand your self in and hand over the others because you will get caught and I can’t wait..

    For the readers just get new insurance Adrian flux 08000818989 gave us a very good deal of £2600 on a faux hall corsa, ask mid can show you are insured but as we found out that incorrect details was given to Avila to get insurance and this meas falsifying insurance wich means you are not insured.

    Mickey mcleod