Insurance Companies: Civil Proceedings

Ministry of Justice written question – answered on 28th May 2019.

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Photo of Jo Johnson Jo Johnson Minister of State (Department for Education) (Universities and Science) (Joint with the Department for Business, Energy and Industrial Strategy)

To ask the Secretary of State for Justice, what steps he is taking to ensure that greater numbers of insurance cases are resolved before they reach court proceedings.

Photo of Paul Maynard Paul Maynard The Parliamentary Under-Secretary of State for Justice

The vast majority of claims against insurers in the civil justice system settle before court proceedings stage, as reflected in the statistics published by the Compensation Recovery Unit.

Settlements are a matter for the parties to an individual dispute to reach agreement on, but the Government seeks to promote pre-court settlement – for example by the development of pre-action protocols.

In terms of road traffic accident related personal injury claims under £5,000, the Government is introducing a new IT Platform, in April 2020, which will enable such claimants to communicate effectively with the at-fault insurer to efficiently progress and settle their claim during the pre-action stage without the need for court proceedings.

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