Karl hails George Osborne’s pledge to reform the compensation culture around minor motor accident injuries

The City of Lincoln’s Member of Parliament, Karl McCartney MP, has hailed the Chancellor of the Exchequer, Rt Hon George Osborne MP’s pledge in his Spending Review and Autumn Statement that the Government will reform the compensation culture around minor motor accident and personal injury claims.


The measure is expected to save drivers between £40 and £50 off their motor insurance premium bills each year.


The Government’s announcement comes hot-on-the-heels of last week’s Westminster Hall Debate in Parliament that Karl secured and led on personal injury claims during which several other Members of Parliament from all sides of the House also raised concerns about the industry. 


During his speech in the House of Commons today, Mr Osborne said: We’re going to bring forward reforms to the compensation culture around minor motor accident injuries. This will remove over £1bn from the cost of providing motor insurance. We expect the industry to pass on this saving, so motorists see an average saving of £40-50 per year off their insurance bills."


Welcoming the Chancellor’s announcement, Karl McCartney MP said: “I am delighted that the Chancellor has listened to the concerns of Britain’s 30 million drivers, which were elucidated and echoed by me and several other Members of Parliament only last week during the Debate I secured in Parliament on personal injury claims.


“Personal injury claims add at least £93 to the average annual motor premium every year for every law abiding driver. Most of these claims - which amount to some £2.5bn - are for whiplash. These are usually very minor injuries that require little or no proof of injury.  


“It is quite right, therefore, for the Government to introduce much-needed reforms to the compensation culture around this area and to save money for the law-abiding and insurance-paying drivers of Britain."


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For further information, please contact Karl McCartney MP at karl.mccartney.mp@parliament.uk / 020 7219 7221.