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RGDATA Calls For Legal Reforms To Stem ‘Compo Culture’

By Publications Checkout
RGDATA Calls For Legal Reforms To Stem ‘Compo Culture’

RGDATA has on both the Government and main opposition parties to introduce new measures to change how personal injury cases are handled, as retailers report an unprecedented level of such claims over the past 12 months.

The retail association adds that insurance premiums have also rocketed as a consequence of what it calls ‘Compo Culture’ and excessive settlements, which are being foisted on retailers by insurance companies.

According to a survey of 500 RGDATA members, 85% of retailers have seen an increase in their insurance premiums over the last year, and that the average insurance premium increase is just over 30% on the previous year, but some have increased by as much as 150%.

The survey also revealed that 44% of retailers faced insurance claims recently with the majority (77%) involving personal injury claims. In fact, 34% of retailers have faced at least one personal injury claim in the last 12 months.

Retailers are also reporting an increase in claims from serial claimants and claims that are spurious and grossly exaggerated.


RGDATA Director General Tara Buckley commented, “The advent of the Injuries Board some years ago was very welcome. However it now appears as if solicitors are counselling clients to ignore the Board’s recommendations and instead to take their chances before the Courts.

“This is adding hugely to the cost of insurance and the cost of claims. We need to look afresh at the Injuries Board to see if its role and function can be increased to dealing with issues of liability and award levels. The current system is badly broken and ordinary hardworking business people are carrying a dysfunctional legal system on their backs. This needs to stop now.”

© 2016 - Checkout Magazine by Jenny Whelan

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