Fraudulent Personal Injury Claims: The Real Cost.
Just recently new statistics have revealed that the cost of fees resulting from personal injury claims is said to be adding around 40 to every car insurance premium. This news is likely to infuriate the many motorists who are struggling to cope with the rising cost of insurance.
The finding mean that for every pound, ten pence paid into a car insurance policy will be going directly towards paying the hefty legal expenses required to cover claims for personal injury.
A new study carried out by the Association of British Insurers recently and this took into account the more than 50,000 personal injury claims that are related to road traffic accidents. The study discovered that the rising cost of legal fees is adding to the cost of already increasing car insurance premiums.
The average personal injury payout is around 2430 and the cost of legal fees stands at an estimated 2000. The extra fees are eventually passed onto the motorist via higher priced car insurance premiums.
After the recent survey was published findings there were calls to change the way the claims system works and in particular to speed up the process in order to try to reduce the amount of legal fees that will mount up. The claim culture has come under fire once more as a result of the latest findings.
The Association of Personal Injury Lawyers have now announced that a complete overhaul of the way the claims system works is beginning and that the new system will be much quicker and simpler and aimed at greatly reducing the cost of legal fees.
It has not been announced as to when the new system will come into play but it is believed to be being constructed as a matter of urgency. News of the cost of claims like this is bound to anger people.