Road traffic accident personal injury reforms to come into force in April 2019

27/02/2018

The government has announced plans to press ahead with its reforms to personal injury compensation pay outs.

The new threshold for road traffic accidents (RTAs), in particular whiplash claims, are set to come into effect in April 2019. Reforms to other types of personal injury will come in at a later date.

The changes, which were part of the original proposals put forward in the Prisons and Courts Bill before it ran out of time prior to last year’s snap election, have been resurrected through the Civil Liability Bill which aims to address the alleged compensation culture surrounding motor insurance claims. The intention is to raise the limit on claims for road traffic accidents from £1,000 to £5,000, while the threshold for more general accidents - employers’ and public liability claims - will double from £1,000 to £2,000.

The Motor Accident Solicitors Society (MASS), the Association of Personal Injury Lawyers (APIL) and the Law Society have all vowed to fight the proposals, arguing that there are still questions about how it would be implemented and operated. Many in the legal profession are also opposing the move as they fear it will prevent victims of road traffic accidents bringing a claim as they will be liable for their own legal fees if they pursue compensation below the new limit.

Opposition parties have also raised concerns that the government has announced the changes before the Justice Committee has had a chance to publish its inquiry (see our newsarticle dated 22/12/17), following its evidence gathering session in January.

If the proposals do go ahead, anyone suffering whiplash injuries lasting up to three months will receive compensation of £225 instead of around £1,600. Injuries lasting six months will receive damages of £450, down from around £2,250 and just £765 for people suffering with injuries lasting up to nine months.