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Big jump forecast in U.K. injury claims; End to legal aid cited as a major factor.(Study of U.K. personal injury litigation)(International Pages)(Legal Beat)(Brief Article)(Statistical Data Included)
Business Insurance, July, 2001 by Unsworth, Edwin
Improved risk management and higher insurance rates are needed to combat an expected sharp rise in U.K. personal injury claims, a new report suggests. In a study of U.K. personal injury litigation, London-based Datamonitor P.L.C. predicts that personal injury claims will increase by one-third, to about 1 million cases a year, by 2005.
Datamonitor based its study on personal claims experience in the United States and the aftermath of the withdrawal of legal aid for personal injury claims in the United Kingdom. Since the withdrawal of legal aid in April 2000, personal injury litigation has passed to the private sector, leading to increased use of conditional-fee arrangements and so-called ``after the event'' insurance-which is taken out by claimants to pay...
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