Whiplash IT system in the pipeline

The website for a new IT system which will randomly allocate medical experts for soft tissue injury claims will go live this month.

The Association of British Insurers is working with the Ministry of Justice to introduce the MedCo system which will be aimed at reducing the number of fraudulent whiplash claims.

Every week there are more than 9,500 whiplash claims costing insurers £2bn a year but there is a lack of any objective medical test.

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Speaking at the Motor Accident Solicitors Society Conference in Manchester on Friday, James Dalton, the ABI’s head of motor insurance, said: “Developing an IT system that randomly allocates independent and accredited medical experts to claimant lawyers is critically important in working towards the delivery of fundamental reform of the medico-legal reporting system.

“That is why the insurance industry has committed to fund the development of the MedCo system and we continue to work with key stakeholders through the Ministry of Justice to determine the key policy issues.

“Significant progress has been made so far: there is agreement on the structure of the Board including the independence of the Chair, broad agreement on the Articles of Association underpinning the company and the MedCo website will be operational this month.”