The turnover of personal injury claims management companies (CMCs) bounced back 27% to £310m last year as the market began to “stabilise”, it has emerged. Applications by personal injury CMCs for authorisation from the Ministry of Justice also increased by almost two-thirds.
Ignorance of the rules is no defence where there have been breaches, the Ministry of Justice (MoJ) has told claims management companies (CMCs) in guidance notes for a new set of rules which come into force today.
The Ministry of Justice proposals on how the Legal Ombudsman’s costs for handling complaints against claims management companies are recovered disproportionally penalises those working in personal injury, a leading marketing collective has argued.
Trading in shares in National Accident Helpline (NAH) began on AIM yesterday as it emerged that Minster Law – the major claimant practice owned by insurance group BGL – is taking 15% of potential clients the company receives.
The message that consumers do not need to use claims management companies to make complaints about mis-sold payment protection insurance is not getting through, the Financial Ombudsman Service admitted yesterday.
Leading claims management company National Accident Helpline Limited has announced its intention to float on AIM, in a move which it hopes will value the business at £100m. The IPO is expected next month.
Claims management companies are for the first time to face the prospect of fines for poor conduct such as spam texts, the government announced today as part of a series of measures aimed at toughening up their regulatory regime.
The number of claims management companies has fallen by nearly a quarter since the introduction of the referral fee ban and prohibition on offering inducements, new figures have shown.
The Solicitors Regulation Authority has issued its first warning notice over the way personal injury firms are dealing with the referral fee ban. It highlights concerns that some solicitors are so busy ensuring they do not breach the ban that they are failing to consider their wider professional duties.
The Legal Ombudsman has put around 10% of its staff at risk of redundancy as it undertakes a restructuring brought about by receiving fewer complaints than expected. It has been exacerbated by difficulties in transferring over the handling of complaints about CMCs.