0370 270 6000

already registered?

Please sign in with your existing account details.

need to register?

Register to access exclusive content, sign up to receive our updates and personalise your experience on brownejacobson.com.

Privacy statement - Terms and conditions

Chancellor announces major reform to low value injury claims

26 November 2015
The Chancellor has used his autumn statement to announce plans that will drastically reform low value injury claims. 

The government had already indicated an intention to revisit the injury small claims limit in the forthcoming Insurance Fraud Taskforce report, but Osborne has pre-empted the report by announcing an increase to £5,000. The effect of the reform (subject to any change to the small claims costs rules, which appears unlikely) will be to dramatically reduce legal costs available in low value cases. 

A ban on general damages for minor soft tissue injuries is also planned, though special damages including treatment costs will remain available. A consultation on the detail of the reform is expected in the new year. 
 
James Arrowsmith, partner at insurance law firm Browne Jacobson, said:

"The reforms will amount to a significant blow to many injury law firms, who are already experiencing a challenging market. However, it is expected that claims management companies and appropriately geared  ABS firms will attempt to plug the gaps created, using, for example, damages based agreements and rehab provision to bolster their balance sheet."

 

news

11 December 2017

Browne Jacobson bolsters London professional indemnity offering with new partner appointment

National law firm Browne Jacobson has appointed professional indemnity specialist Ed Anderson as a partner in its expanding financial and professional risk (FPR) practice.

Read more

30 October 2017

Browne Jacobson expands its professional indemnity practice with duo hire

Browne Jacobson has broadened its insurance offering in the South West with the appointment of two specialist professional indemnity lawyers.

Read more