I write in connection with the Postbox letter from Justin Jacobs, Head of Liability, Motor and Risk Pricing of the Association British Insurers, PM 29th/5th January 2006.
The cost culture that appears to have developed over recent years has had a significant financial impact on the insurance industry.
That is not to say that the blame rests with claimant Lawyers. There are sections of the industry that have failed to fully embrace the Civil Procedure Rules which has led to delayed resolution of often very straight forward claims. In our view, there needs to be a re-injection of passion for both claims investigation and handling. Often, delays arise as a consequence of poor investigation techniques, inexperience and/or a failure to explore all avenues of enquiry. This in itself may lead to financial leakage on the part of the Insurer and the handling process becoming unnecessarily protracted.
Mr Jacobs makes an excellent point that the legal profession should embrace reforms and work with Insurers, Adjusters and all those involved in the claims handling process, to ensure that the claims handling process is made more efficient and cost effective which inevitably is of benefit to all parties.
Dr Christopher Ingham, MA PhD
Press release: 9th January 2006