Experts in the personal injury sector have been bracing themselves for change following the shock EU exit of the 23rd June. With over two thirds of British law originating from Europe, the far reaching implications to the legal system are still as yet unknown.
It cannot be argued that leaving the EU impacted on all areas of the personal injury claims sector such as accidents in the workplace, accidents abroad, flight claims and also affecting the small claims limit. It will take some time to complete the restructuring of policy and underpinning procedures, for the regulatory bodies in turn to adjust and make amendments to regulations, allowing for everyone to take full control of the situation.
The market has already experienced change following the instalment of the Legal Aid, Sentencing and Punishment of Offenders Act 2012 (LASPO) and also the prospective reforms of November 2015 have ensured continued uncertainty. The small claims limit was raised from £1,000 to £5,000 which ultimately was intended to remove the barrier to access to small claims court without a solicitor for relatively low costs. It was also proposed that minor whiplash victims should be compensated with medical care as opposed to monetary sums.
The National Accident Helpline was adversely affected by the proposed changes which saw the firm rushing to adapt and diversify in 2016 to reflect a decline in market value. Presently the UK employers’ liability is completely unprofitable and has been since 2005 with further declines seen between 2015 and 2016. Loss in figures was apparent with noise induced hearing claims declining with LAPSO being cited as the source of a slight spike on profitability.
For now top experts in the personal injury sector are closely monitoring any changes in the sector to see how the situation progresses with hopes being that figures will slowly rise in the coming months. For now there is no clear indication of how the personal injury sector will deal with further updates or amendments to policy.