Compo awards 'hit by euro changeover'
It was also claimed that as a result of Justice Minister Michael McDowell's new laws, people with serious injuries sustained in accidents will have to worry about getting solicitors and lodging their compensation claims while they are still in the early stages of recovery.
Bar Council chairman Conor Maguire said judges were awarding similar figures as three years ago for personal injuries but had not adjusted the amounts in line with the euro changeover. The reduction in awards paid out had not been matched by lower insurance premiums, he said. "The numbers have stayed the same but the damages have gone down by 27%," he said.
Reiterating the legal profession's objections to the setting up of the Personal Injuries Assessment Board, Mr Maguire said it would encourage fraudulent and exaggerated claims as the board would have no investigative powers.
It will cost between €10 million and €30m to establish the PIAB, which would have ongoing costs of up to 8m.
Speaking at the Oireachtas Enterprise Committee's inquiry into insurance costs, Mr Maguire also denied that barristers would shop around for a sympathetic judge when taking a compensation case to court.
Lawyers were being blamed for the high cost of compensation claims and the resulting insurance premiums, but this was not the case, he said.
Law Society president Geraldine Clarke said she welcomed the majority of Mr McDowell's plans to reform the personal injuries claims system.
But she said she was concerned about reducing the statutory period within which claims must be lodged with the courts to 12 months. "It could mean people on the broad of their back in hospital worrying about solicitors and courts."
She said the Law Society was aware of the spiralling cost of insurance as its premium had increased 400% in the last three years from €53,000 to €285,000.
CONNECT WITH US TODAY
Be the first to know the latest news and updates
