The number of motor injury claims submitted in the fourth quarter of 2022 was the lowest ever, according to the Association of Consumer Support Organisations (ACSO) which obtained the Compensation Recovery Unit (CRU) data through a Freedom of Information request.
In a release sent to Insurance Business, ACSO noted that the quarterly figure – just a little over 84,000 – represented a 44% decline from 2018. In 2022, for the first time, the total number of submitted claims – including clinical negligence and public liability – didn’t reach 500,000.
Source: Department for Work and Pensions
“The reasons for the sharp drops in personal injury claims over recent years are several but include the impact of the government’s whiplash reforms, changing behaviours, improved health and safety in the workplace, and falls in marketing spend in the sector,” commented ACSO executive director Matthew Maxwell Scott.
“We’ve always disputed the tabloid obsession with there being a rampant ‘compensation culture,’ and after the latest set of data even its most vocal advocates might consider focusing their fire elsewhere.”
According to the trade body, ACSO member National Accident Helpline found that half of the people who suffered a no-fault accident in the last three years have not claimed, with its research showing 25% ‘having no idea’ they could file to be compensated.
Maxwell Scott stated in the release: “While claims numbers have dropped, motor insurance premiums rose by an inflation-busting 19% in 2022 alone, according to the latest estimates. There are well-known issues in the motor claims supply chain that have driven up costs, but no-one can possibly argue that soaring premiums are down to injury claims.
“There are some signs that the new battleground could be so-called hybrid motor claims, those which contain whiplash as well as other injuries. Consumer representatives should be on their guard against any attempt to squeeze compensation levels further still, while insurers should be reminded that motorists are compelled to buy policies precisely in case they injure themselves or others.”
He added that, “sadly,” court waiting times are at record highs, despite the low claims numbers.
