Insurers rush crash victims to settle claim
Despite an increase in the number of compensation claims filed from those who have suffered personal injuries as a result of an accident, a majority of UK drivers are failing to seek legal or medical advice after being involved in a road accident for no reason other than being forced to settle their claims quickly through their insurer.
According to a road safety charity, motorists involved in car accidents are being forced to settle their claims within hours after their accident by the other driver's insurance company.
The road safety charity, Brake, raised concerns after it revealed that a growing number of drivers are rushed into taking an insurance payout by insurers before they are even able to get legal or medical advice.
The BBC recently reported a case where a woman, who suffered severe personal injuries to her face, after being involved in a car accident that was not her fault, had been receiving a numerous amount of phone-calls just 24 hours after she was discharged from hospital.
She stated that the calls had been from an agent acting on behalf of the other driver's insurer urging not to file a law-suit and pushing her to accept a pay-out.
The woman told the BBC: "From the day I got home, the insurance company phoned me and were pressurising me not to take it any further - not to seek legal advice. I was really shocked"
She stated that the insurance company "was really forceful, like a bully" and tried to "push [her] to close a deal."
After seeking legal advice, the woman claimed that the insurance firm had gained access to her medical records by posing as a representative of her solicitor.
She said: "They posed as someone working for my solicitor in order to obtain my medical records. I had no idea insurance companies would behave in that way."
When questioned, a former claims handler for the insurance firm told the BBC that it was their "sole job was to capture those clients - to stop them getting independent legal advice, and try to settle direct in their living room."
However, Jane Horton, a spokesperson for Brake, stated that insurers should not behave in this way.
She said: "It's as if having been made a victim once you're then being made a victim twice by then being approached when you're not really equipped to deal with it."
Calls for new rules
As a result, the Motor Accident Solicitors Society (MASS) and Brake are now calling for a tighter legislation to ensure these victims are treated appropriately.
MASS is launching a national campaign to urge motorists to seek legal advice before agreeing to a payout from the other driver's insurance company.
According to its website, the campaign aims to "educate the consumer so they are fully aware of this practice and the dangers of settling their claim without first seeking independent legal advice."
The firm stated that insurers should not contact victims before they seek advice.
It also stated that the pay-outs from insurers are usually a lot less than what it would be in the case of filing an accident claim.
Updated on 08/06/2009