Newcastle solicitors support move to maintain small claims limit

North East law firm TRUE Solicitors LLP has welcomed plans by the government to reduce costs for motorists, while maintaining the current £1,000 small claims threshold for accident victims.

Newcastle-based TRUE Solicitors LLP has always called for industry players to be more robust in checking the authenticity of claims, but opposed calls by the Association of British Insurers (ABI) - this week rejected by the Government - for the small claims threshold to be raised to £5,000.

David Hamilton, senior partner at TRUE Solicitors, commented: “Responsible companies in the personal injury sector will have no problem with the government’s proposal for independent medical panels to review whiplash claims. In fact, we welcome all reasonable proposals that will help to reduce the number of false claims taken forward and bring motorists’ premiums down.

“Where we disagree profoundly with the ABI is on the issue of the small claims limit. Instead of helping reduce the number of fraudulent claims, raising it would have effectively barred many people with genuine injuries from claiming the compensation they are rightfully entitled to. This proposed solution was akin to using a sledgehammer to crack a nut.

“Personal injury compensation payments are designed to help people who have been hurt in an incident that was not their fault. Whatever the initial cause, those with a genuine grievance are entitled to compensation.

“Overall the number of fraudulent claims is actually very small but the fact that motorists are being penalised for the bad behaviour of a few is an issue that urgently needed addressing and we are extremely pleased with this announcement.

“That said, all the parties involved this debate essentially want the same outcome so it would be good to work more closely together in future – this is just one step in the right direction and there is much more to do.”