MEDICO LEGAL M A G A Z I N E
MEDICO -LEGAL NEWS: By Lisa Cheyne, Medico-Legal Manager, SpecialistInfo
Fixed Costs in Clinical Negligence
A round-up of news in the industry for the third quarter of 2017.
The timescale for the introduction of fixed fees for personal injury cases was delayed again this September.
PI market continues to grow According to a consultancy IRN Research report in September, the PI market continues to grow modestly in value terms and is worth almost £4bn a year, but it predicts the market will suffer in 2019 as government reforms begin to take effect. Fixed fees for lower value cases, a tariff system for setting RTA claim damages and an increase in the small claims limit are likely to hit next year. A survey of a panel of law firms confirmed the nervousness in the sector with only 35% of those surveyed expecting increases in workload in the next 12 months (compared to 48% in 2016). All brackets of personal injury damages have been increased to reflect inflation (an increase of 4.8% compared to two years ago). For example, a whiplash injury lasting 3 months will now be awarded between £1,200 and £2,150 (up from £1,160 to £2,050). More details on their site: w w w. l a w g a z e t t e . c o . u k / n e w s / p i - m a r k e t - a year-from-cliff-edge-as-damages-set-torise/5062978.article
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While Lord Justice Jackson supported the concept of fixed recoverable costs (FRC), he also said health ministers and the Civil Justice Council should set up a working party, including claimant and defendant representatives, to develop a bespoke process for clinical negligence claims initially valued up to £25,000. The Society of Clinical Injury Lawyers has always rejected the idea of fixed costs for its sector, and members of the group met in parliament to speak directly with MPs. ‘We believe the most important issue here is patient safety – if there can be improvements and lessons learnt then the level of negligence will be reduced,’ said chairman Stephen Webber. ‘I do not accept the position of others who say FRC is inevitable.’ The Department of Health has yet to respond to its own separate consultation on fixed costs, a reform which the National Audit Office says will save £90m a year by 2020/21. More details on their site: https://www.lawgazette.co.uk/news/fixedcosts-fury-builds-as-timetable-slipsback/5062849.article
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