By: 14 September 2015
MedCo needs more transparency, Kennedys tells Government

MedCo needs to be transparent and uncomplicated, and has to eliminate any incentives that encourage those acting for claimants to ‘game’ the process, according to Kennedys.

The firm has told the Government that it needs to ensure that there is robust auditing of medical reporting organisations (MROs) and openly available management information of which law firms are instructing which experts.

It says that the measures should help break the financial links between solicitors and MROs, one of the chief aims of MedCo.

In its response to the Ministry of Justice’s call for evidence on the operation of MedCo, Kennedys said that it would always be difficult to prevent a minority of organisations or individuals from developing unhealthy practices around “what they see as an opportunity to exploit a situation and generate revenue”.

“This has been proven again and again in the context of whiplash claims,” said the defendant firm. “The low-value, high-volume nature of these claims has attracted bad behaviours – hence the ongoing need for robust and flexible regulation and policing.”

Niall Edwards, partner and head of Kennedys’ motor practice, said “Until we have proper audit procedures in place and good management information, the danger is that unhealthy behaviours will go unaddressed. It is vital to consider MedCo’s operation against a background of an ongoing desire by claimant firms to maximise the reward for agencies linked to the claims process.”