€1bn savings as injuries claims fall

The number of personal injury compensation claims being lodged with the Injuries Board has started to fall just as economic recovery has started gathering pace, according to figures released this morning.

In its mid-year review, the board said €144 million had been awarded to claimants in the first six months of the year, up 22 per cent on the 2013 figures. However, it said the increase was “largely attributable to a natural time lag between the spike in claims over recent years and the resolution of those claims” and pointed out that the number of new claims being made had fallen by 1.3 per cent.

The average compensation being awarded remained relatively unchanged at just over €22,000.

The Injuries Board is the statutory body that awards damages in connection with motor, employer and public liability accidents. It was established 10 years ago to address both a claims and insurance premium price spiral which had undermined competitiveness and clogged the courts. Its latest report said it had been responsible for savings of more than €1 billion since it was set up.

"We've seen a decade of solid progress whereby 70 per cent of personal injury claims are no longer litigated and only 2 per cent of personal injury claims ever go to court," said the Injuries Board chief executive, Patricia Byron. "There has also been a cultural revolution, of sorts, with almost all insurers targeting early resolution of personal injury claims."

Compensation was awarded to 6,552 personal injury claimants between January and June, up from 5,286 over the same period last year with motor accidents accounting for three-quarters of all claims. Public liability claims made up 17.2 per cent of settlements.