Personal Injury Small Claims limit?

March 15, 2013

Personal Injury Small Claims limit

The Small Claims Court assists people in claiming without the need for solicitors, which in some cases can be expensive.

In a Small Claims Personal Injury case, the court will not order the losing party to pay solicitors’ costs, which means if you do instruct a solicitor you will have to pay the costs yourself. For this reason most claimants represent themselves in a Small Claims case.

What has changed?

The limit for Personal Injury claims was, until recently, set at £1,000.

However, earlier this year following a consultation, the government decided to increase the Personal Injury limit from £1,000 to £5,000. Justice secretary Chris Grayling has even said that an increase in the personal injury small claims limit to over £5,000 is likely to be implemented in the near future.

These changes are intended to bring more balance to the systems and allow insurers to pass on savings (from not paying for legal representation) to their customers.

What will this mean to you?

If you (or one of your employees) seek the assistance of an independent Personal Injury Lawyer for a case lower than £5,000 you won’t be able to obtain the cost of that representation from your opponents. The alternative is to represent yourself, or pay for the lawyer’s services out of your own pocket.

We’ve been busier than usual here at AE Insurance Brokers lately. As part of our ongoing commitment to staying current and effective, we recently underwent a brand refresh. While it looked like a cosmetic change - a new logo, a fresh colour palette and font - the process was actually a deep dive into who we are, how we serve our clients, and where the industry is heading.

And while we were looking in the mirror, something struck us: many businesses don’t look in theirs often enough.

When we talk to UK business owners one pattern emerges consistently. Companies grow, pivot, hire, launch new products, or expand into new territories. Yet their insurance policies often remain frozen in time, reflecting the version of the business that existed twelve months ago - or worse, five years ago.

Insurance is often treated as a compliance checkbox: a bill that needs paying, a certificate that needs sending. But if your business has changed, your risk profile has changed too, and when your policy doesn’t match your reality, you’re likely overpaying and potentially leaving dangerous gaps in your protection.

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