June 23, 2010 19:00 ET

Voluntary Code of Conduct to Help 3rd Party Capture Credibility

LIVERPOOL, UNITED KINGDOM--(Marketwire - June 23, 2010) - The use of third party capture by insurers has become a more and more contentious issue since its recent inception, with insurers using it to speed up the accident claims process. So much so that the Association of British Insurers will be introducing the voluntary code of conduct soon in an effort to respond to these concerns and hopefully determine the reputable insurers from the less credible.

Lawyers have felt aggrieved about the risk to claimants of having their claims undersettle due to the conflict of interest created by the compensating insurer representing both sides and so are expected to welcome the news, as it might reveal some of the pitfalls of using third party capture for accident compensation.

However, the voluntary code of conduct will only supply a list of recommendations and best practice procedure to be followed and therefore, won't penalise insurers who do not follow these rules or refuse to sign up. It will, nonetheless, ensure those insurers who do volunteer themselves for participation in the code of conduct will enhance their credibility provided they abide by the code.

Stephen Higham, partner at David Phillips and Partners Solicitors, who are legal specialists in handling accident claims and accident compensation, commented: 'It is extremely important to ensure every accident victim is treated individually with the due time and care required. As a nationwide firm of solicitors and not a claims management company, we invest in each claimant's case personally rather than just selling it on somewhere else. We have over 25 years experience and are regulated by the Solicitor's Regulation Authority so claimants know that we are a secure and reliable option dedicated to acting in their best interests, not those of insurance company shareholders'.

Third party capture's attempted image overhaul, with the new title 'third party assistance', is seen by the ABI as a way of encouraging accident victims into claiming accident compensation direct from the responsible party's insurers. Lawyers, on the other hand, argue that third party capture is simply cutting them out of the process to suit the insurers' aims of settling claims for less than the claimant deserves.

About David Phillips & Partners Solicitors:

- Offices throughout the UK including London, Liverpool, Manchester and Birmingham.

- Regulated by Solicitors' Regulation Authority (SRA Ref#: 73353).

- Founded in 1982 and has over 25 years legal experience in the following specialised areas; criminal defence, accident claims, actions against the police, property conveyancing, wills and probate, matters involving children, motoring offences and prison law matters.

Contact Information

  • David Phillips and Partners Solicitors
    Stephen Higham
    0151 933 5525
    0151 922 3784 (FAX)