REDUCING the payout for minor injuries by anything less than 80pc from current levels will lack credibility, according to a leading advocate for insurance reform.
Awards for minor whiplash injuries would be cut by up to 50pc under proposals being examined by the judiciary.
If adopted, the move would be significant for motorists as insurers have promised to lower premiums if awards for minor injuries, which make up the bulk of claims, are reduced.
However, the proposal still falls short of the 80pc reduction business groups have been seeking.
Figures from the Personal Injuries Assessment Board (PIAB) show that the average award for a whiplash claim is just short of €20,000.
A PIAB study previously suggested that around 70pc of all motor claims relate to whiplash.
Business Editor
A full meeting of the Judicial Council has concluded without any decision being taken on draft new personal injury award guidelines.
The issue was discussed at this morning s meeting of the 166 judges.
The council is to give further consideration to the matter again when it meets on 20 February.
It has not said why a decision was not made today.
However, it is understood some members of the judiciary felt they needed more time to consider the proposals.
The guidelines are eagerly anticipated by insurance reform campaigners who hope that, if adopted, will lead to a recalibration in the level of damages that can be awarded to claimants involved in personal injury cases.
Insurers urged to settle business interruption claims
Updated / Friday, 5 Feb 2021
19:04
Court rules that pubs are entitled to insurance over Covid-19 closures
The Minister of State with responsibility for Financial Services, Credit Unions and Insurance said today s High Court judgment in a number of test cases relating to business interruption insurance claims arising from Covid-19-related disruption was lengthy and complex.
Seán Fleming said the Government s consistent view has been insurers should engage with impacted businesses honestly, fairly and professionally to honour the terms of the policy cover, in line with the Central Bank s Consumer Protection Code. Separately, the Central Bank s Business Interruption Insurance Supervisory Framework sets out its expectations of insurance firms in handling Covid-19 related business interruption insurance claims, Mr Fleming added.
Judges have decided to delay the publication of new guidelines on personal injury awards after a meeting to discuss the proposals ended without agreement.