Industry should refocus on claims

Despite evidence that there has been little rise in the number of compensation claims for accidents for at least three years, we read again of likely consequences of a growing 'compensation culture' (PM, 6 November, p13).

AA Insurance managing director Andrew Briscoe repeats Lloyd's chairman Lord Levene's assertions that a "massive increase" in premiums for employers liability insurance in Britain is acting as a brake on enterprise and innovation.

Surely Mr Briscoe is aware that figures from the compensation recovery unit show the number of accident claims within the EL sector has fallen for two years. Indeed, the number of overall claims between 2000-01 and 2002-03 has decreased by almost 4%. As Minister for Work Des Browne said at a recent Select Committee meeting, these figures do not point to a compensation culture.

It is a lack of understanding about the litigation process which leads councils, schools and businesses to believe they can be sued for almost anything. In reality this isn't the case. If proper health and safety measures are in place and observed, then any fear of being sued is unfounded.

Mr Briscoe suggests the insurance industry should lobby the government to take action such as laying down guidelines for the courts. Surely the industry's energies should focus on linking health and safety with insurance premiums? Better health and safety procedures would lead to fewer accidents and therefore fewer claims. Isn't that what this issue is all about?

David Marshall, President, Association of Personal Injury Lawyers

- Letters can be sent to: The Editor, Haymarket House, 28-29 Haymarket, London SW1Y 4RX, by fax on: 020 7484 9988, or by e-mail to: jonathan.swift@incisivemedia.com.