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Page last updated at 08:35 GMT, Thursday, 12 January 2012

Straw: 'Stunning variation' in whiplash claims

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The Commons transport select committee is calling for urgent action to cut the amount of compensation paid to people who claim they suffered whiplash in car accidents.

Former justice secretary Jack Straw told the Today Programme's Sarah Montague that there are "huge profits to be made" in the chain of parties involved in claims for compensation.

There were "stunning variations" in whiplash claims across the country, he said, with the large number of claims indicating people in the UK had "weaker necks" than international counterparts.

Nick Starling from the Association of British Insurers said that in a country where there is "one whiplash claim every minute", there needs to be a complete reform of the "dysfunctional" personal injury system.

Insurers, too, play their part in the problems, he acknowledged, saying that "everyone is to blame in a system that is dysfunctional".


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