Commenting on new plans announced by the Government to cut down on spurious whiplash insurance claims, RAC director of insurance Mark Godfrey said:
“We broadly welcome the announcement by the Government that there is to be a crackdown on bogus and exaggerated whiplash claims. The present system is now widely regarded as broken and in need of reform – in recent years insurers have been inundated by false or inflated claims which are unfairly pushing up premiums for all motorists in the UK. This is in addition to other, unrelated costs which are further increasing the cost of insurance, such as the two recent rises in Insurance Premium Tax.
“There is an important balance to strike here though – while bogus claims must be stamped out, it is crucial that motorists that have genuine claims are not disadvantaged, which is why we now look forward to seeing the finer detail of the Government’s proposals.
“Insurers have pledged to pass on savings brought about by the whiplash claim crackdown announced today – it is imperative that they follow through with this commitment to the benefit of honest motorists.”