UK named whiplash capital of the world

The UK has been named the whiplash capital of the world after a new study finds nearly 80 per cent of all injury claims made seek compensation for whiplash.

The study, by insurer LV=, finds whiplash claims in the UK are far above the European average, and even trumps countries like the US where whiplash accounts for two-thirds of all injury claims. 

Whiplash claims are estimated to cost the insurance industry £2billion a year, adding £90 to every insurance policy. And despite the Government’s efforts to limit the number of uneccesary claims made that raise insurance premiums for the rest of the motoring public, the study finds drivers are still regularly hounded by claims management companies.

• Average cost of insurance jumps by over £100 in a year

The report identifies the average driver receives five calls or text messages that offer financial renumeration after a crash, with one in eight contacted by a claims management group before they had even reported the accident to their insurer.

Though the Government has already announced it'll remove the right to general damages for soft tissue injuries, along with increasing the upper limit for the small claims court for personal injury claims from £1,000 to £5,000, the insurer believes there is more the Government needs to do to curb the number of minor injury claims that raise the premiums of all motorists.

• Unmanned roadworks could earn £5,000 a day in fines

Martin Milliner, GI Claims Director of LV=insurance, said: “Government makes one change to the system and the fraudsters find a way around it - meaning further action is needed and fraud persists. The more time it takes to implement changes, the easier it makes it for fraudsters to find another loophole, hitting the pocket of the honest consumer.

"We would like to see a quick and comprehensive response from Government to implement all the Insurance Fraud Taskforce's recommendations. 

Earlier this month, the Insurance Fraud Taskforce announced a new set of proposals that include insurers sharing their data, and higher cooperation within the industry, to fight insurance fraud with.

How would you limit the number of whiplash claims made in the UK? Tell us in the comments below...