Whiplash reforms postponed

Proposed legislation containing sweeping industry changes is dropped in light of the general election

Whiplash reforms postponed

Motor & Fleet

By Louie Bacani

The proposed legislation that introduces major changes to the personal injury market has been shelved as the government prepares for the June 08 general election.
The Prisons and Courts Bill, which contains the planned reforms on whiplash claims compensation, has been scrapped following a unanimous vote by MPs on Thursday.
David Lidington, leader of the House of Commons, confirmed that the legislation has been dropped due to time constraints in Parliament, which is expected to be dissolved ahead of the snap election.

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“The Bills that were introduced to this House quite late in the current parliamentary session and which received carry-over motions so that they could be debated in what would have been the third session of this Parliament, including the Prisons and Courts Bill, will fall,” Lidington said.
The government reforms included plans to scrap the right to compensation or at the very least, put a cap on the amount people can claim for minor whiplash injuries.
Small claims track limit will be increased to £5,000 under the proposed law, while claims without medical evidence will be banned.

The government believes that car insurance premiums would be cut by around £40 a year due to the proposed reforms.

Related stories:
Industry bodies react to government whiplash reforms
Whiplash reform details made official
What will be the impact of whiplash reforms?

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