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Civil Liability Bill Update

21-Jun-2018

The government recently voted on the report stage of the proposed Civil Liability Bill after amendments put forward by key members of the House of Lords.

Former Lord Chief Justice, Lord Woolf, had led efforts to persuade the government to remove the proposed tariff for whiplash injuries. In addition, a further proposed amendment from the Lords was to increase the small claims limit for RTA cases to £5000 and £2000 for other personal injury cases.

Lord Woolf also argued that the judiciary should be set the task of assessing damages rather than the government.

Small Claims Limit

After considering the amendments put forward, the proposals were voted down by peers. However, the government did make some concessions.

Lord Keen of Ellie the justice spokesman suggested that the Ministry of Justice (MoJ) was considering that vulnerable road users, including cyclists and pedestrians, were omitted from the small claims limit increase.

It was also stated that the MoJ was considering a requirement for insurance companies to report on how premium savings are passed onto consumers following the reforms.

Further to this, Lord Keen stated that a review of the damages tariff must be undertaken within three years of implementation, and thereafter every three years.

The amendments put forward by the Lords were significant. However, peers voted 218 to 205 against.

Assessing Personal Injury Damages - call 0113 387 5670

Still to be considered by the government is the amendment to the personal injury discount rate. Currently set at -0.75% to represent ‘very low risk’ investment, there are indications that the rate will be amended to reflect investments that are ‘low risk’ following the settlement of cases.

The recent developments represent another step forward towards further reforms and will be met with contrasting opinion from both Claimant and Defendant sides of the personal injury market.

At Forths Forensic Accountants we assist in quantifying financial loss in all types of personal injury and clinical negligence cases, with particular expertise in complex and high value loss of earnings and loss of pension calculations.

To discuss a potential case with one of our experienced forensic accountants, call us on 0113 387 5670, email us at enquiries@forthsonline.co.uk or fill out an Enquiry Form and we will contact you directly.