BIBA broadly supports Transport Committee report to tackle motor insurance fraud

4th July 2014

The British Insurance Brokers’ Association is pleased with the Transport Committee’s report to tackle fraudulent and exaggerated motor insurance claims.

Graeme Trudgill, BIBA’s Executive Director, said: “We support any measure that will help to protect innocent customers and the industry from the added cost of fraudulent insurance claims which increase the premium for every policyholder.

“BIBA and our Motor Panel have been calling for laws to be changed to help tackle fraudulent and grossly exaggerated claims so we welcome the Select Committee’s recommendations in these areas. Medical examinations to diagnose genuine whiplash injuries are important and we made a call to action in our 2014 Manifesto for an independent medical panel to be established.

“We support Louise Elllman’s call for the Government to publish its comprehensive proposals for the new medical panels and timescales. We also support the move to ban solicitors offering inducements like tablet computers to encourage people to make a claim."

Steve White, BIBA’s Chief Executive, said: “We are pleased that the Committee has acknowledged that motor insurance premiums are falling. The BIBA-Acturis Insurance Price Index shows that for the second year in a row, motor insurance has dropped by around 5.5% in the first quarter. We believe that the comprehensive measures set out in the report today, including improved data sharing about potentially fraudulent claims and stricter controls over solicitors pursuing false or exaggerated injuries, will all have a positive impact on this serious issue.”

BIBA and its Motor Panel is committed to supporting the Government in assisting with taking these recommendations forward in order to ensure fair premiums for motorists.

Ends

Notes to editors

  1. For further information please contact:

    BIBA press office:
    Leighann Forsyth, Head of Communications
    07917 738 727
    forsythl@biba.org.uk 
     

2. About British Insurance Brokers' Association

The British Insurance Brokers' Association (BIBA) is the UK's leading general insurance intermediary organisation representing the interests of insurance brokers, intermediaries and their customers.

BIBA membership includes just under 2,000 regulated firms having merged with the Institute of Insurance Brokers (IIB) in November 2011.

General insurance brokers contribute 1% of GDP to the UK economy and BIBA brokers employ more than 100,000 staff.

53% of all general insurance is sold by an insurance broker and they arrange 81% of all commercial insurance business.

Insurance brokers put the client’s interests first, providing advice, access to suitable insurance protection and risk management.

BIBA helps more than 400,000 people a year to access insurance protection through it’s Find a Broker service, both online and via the telephone.

BIBA is the voice of the industry advising members, the regulators, consumer bodies and other stakeholders on key insurance issues.   BIBA provides unique schemes and facilities, technical advice, guidance on regulation and business support and is helping to raise, and maintain, industry standards.