With the continuing anguish and debate taking place between solicitors, insurers and the media over the pricing of personal injury claims there is one personal injury solicitor who has been challenging insurance companies for selling off cases to the highest bidder.
The director of a firm of solicitors that specialises in personal injury law, John Spencer, stated that some insurers had put on referral fee auctions with solicitors for parcels of cases. The price of these parcels was most likely to be apportioned by the severity of injuries received by precise cases.
Spencer is a member of the Law Society and is also a Road Traffic Accident (RTA) Portal co-director who has been exposing the practice as a way of promoting a method of cleaning up the personal injury system.
He said that even the conducting of auctions may be quite a legal and clever way of conducting business he considers that it is quite unethical.
He pointed to the fact that initiatives of this type, where financial gain was the motive by all those involved in the present personal injury (PI) system, which includes insurers, solicitors and claims management businesses, have ignored the rights and requirements of injured individuals who suffer the most when it comes to these types of confrontations. They, in the end, will be the losers, not the insurers or the personal injury solicitors.
Spencer was quick to accept that the present claims system was a major reason for the hike in motor insurance premiums, but this was not a good reason for the current practices being conducted by insurers.
He confronted the insurance industry by asking them to stop the practice of auctioning out claims before the halt on referral fees is made law in April 2013.
Claire Lamb, the Director of the firm is in full agreement with the contents of this article and says “it is about time the public were educated in what is really going on behind closed doors instead of having to listen to all of the inaccurate suggestions being put forward that firms, such as my own, are responsible for this mess”