London, UK, 26/10/2009

The selection panel reviewed 15 responses to an Invitation to Tender as part of the selection process.  The reforms, which aim to speed up the time taken to reach settlement for claimants and reduce the time and costs spent on lower value RTA cases (£1,000 - £10,000) are due to take effect from April 2010.

The technology system under development by CRIF will provide for an electronic portal enabling communications via web services, including XML interfaces with claimant lawyer and insurer/compensator in-house systems and web browser options.  It will facilitate swift, electronic exchange of all relevant claim related documentation, including medical reports, between claimant lawyers and insurers/compensators, supporting the drive to meet the agreed process time scales.

A ‘kick start’ workshop involving claimant lawyers and insurers/compensators took place at the beginning of October and an initial pilot, covering stage 1 of the new process and involving claimant lawyers and insurers/compensators is scheduled for January 2010. 

Insurance Database Services Ltd (IDSL), responsible for project management and co-ordinating the roll out of the electronic portal, will be arranging a series of communications to all claimant lawyers and insurers/compensators to keep them appraised of system development and to provide assistance on interfacing with their in-house systems and processes.


Notes:

Selection Panel Members: Representation on the panel was provided by APIL, MASS, TUC, Insurers and the MIB.
Background to New Process Framework Taking Effect April 2010: The new process will be contained in a new Pre-Action Protocol and amended Civil Procedure Rules.

Stage One:  Claimant’s solicitor completes the claim notification form and sends it to the insurer/compensator who may admit/deny liability. 15 working day time limit. £400 fixed fee cost.
Medical evidence is gathered between stages 1 & 2 – there is no set time period as medical reports must reflect the claimant’s injuries and recovery

Stage Two: Where liability is admitted the claimant solicitor completes and sends a settlement pack (medical report attached) to the insurer/compensator.  The insurer/compensator has 15 working days to accept or a further 20 working days to negotiate via counter offers. £800 fixed fee cost.

Stage Three:   Where the parties cannot agree a settlement, the claim will proceed to a quantum hearing.  No time limit.  Fixed costs for this will be £250 for a paper hearing or £500 for an oral hearing.
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