By: 27 November 2016
Small claims limit increase to hit 140,000 non-motor cases a year, says National Accident Helpline

Government plans to increase the small claims limit to £5,000 for all personal injury claims will impact more than 140,000 non-whiplash related cases every year, such as injuries sustained at work or through other forms of negligence, according to National Accident Helpline.

The CMC has also used data from the Compensation Recovery Unit (CRU) to show that a five-fold increase to the small claims limit to £5,000 will affect a total of over 800,000 claims annually.

The CRU statistics show that a significant proportion of non-whiplash claims would fall within the proposed small claims limit, with 83% of public liability and 78% of employers’ liability cases set to be captured by the change.

National Accident Helpline said that the figures “laid bare” the unintended consequences of the plans on non-RTA claims, which the Government has itself acknowledged have not been targeted by fraudsters. It warned that the changes will have a damaging impact on genuine claimants and has called on the Government to reconsider the proposals.

 Simon Trott, the managing director of National Accident Helpline, said: “We support any measures that will help to cut down fraudulent activity. The Government’s intention to raise the small claims limit for all claims, irrespective of their relationship with fraud, demonstrates that whiplash is simply being used as a means of diverting attention away from a broader attack on the rights of injured people.”

“These plans will cause severe harm to access to justice and leave injured people to fight complex cases against well-armed insurers with no legal assistance whatsoever. We urge the Government to reconsider the increase and ensure the rights of genuinely injured claimants are protected.”