Should insurers fight more personal injury claims?

MP Sammy Wilson wants to see insurance firms put up a stronger fight against personal injury claims in a bid to reduce the cost of premiums for motorists. 

The Member of Parliament for East Antrim explained that insurance companies roll over and pay out personal injury compensation if the claim is under a certain amount.  However, instead of settling these claims, they should be fighting them and making people prove their case in court.

We currently have a situation whereby people who have made successful claims tell their friends and family how easy it is to win compensation. Not surprisingly, this encourages more people to claim, especially when personal injury solicitors are continually advertising their no win no fee services on TV and the Internet.

Mr Wilson also went on to say that tougher action needs to be taken against motorists who do not possess insurance. The average insurance premium costs £30 more than it needs to because of these uninsured drivers. The current £200 fixed penalty for driving without insurance is not a big enough deterrent, he added.

Drivers in Northern Ireland face the highest premiums in the UK and one reason for this is a lack of competition. Wilson wants the BIS and OFT to examine the reasons for this but he also wants to make sure that younger drivers are not forced off the road by unfair restrictions.

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