The government’s crackdown on incentive marketing is a step in the right direction but long overdue, Russell Atkinson, CEO of National Accident Helpline, has said.
His comments follow an announcement on Saturday by Justice Secretary Chris Grayling to introduce new measures to reduce the number of false claims and bring down the cost of insurance premiums.
These include banning lawyers from using incentives such as cash or iPads to make a claim, a practice often referred to as incentive marketing.
Although claims management companies were banned from engaging in incentive marketing following rules introduced in April 2013, the rules excluded lawyers and insurers from their reach.
National Accident Helpline, which has never offered cash or other inducements to potential claimants to bring claims, argued for a full ban on the use of incentives ahead of the April 2013 legislation.
Russell Atkinson, CEO of National Accident Helpline, said:
“The government’s decision to extend the ban on the use of incentives to the broader legal sector is welcome but long overdue.“iPads have nothing to do with real injuries and should not be used to lure in injury victims, real or fake. Sector-leading companies are and should continue to be able to serve real injury victims without the need to ‘bribe’ them to make a claim with gifts and incentives.”