Defendant law firms “scaring off” legitimate employer’s liability claims

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Kushnick: All part of defendant law firms’ business model

At least £284m has been unclaimed from accidents at work in 2023, with workers increasingly reluctant to seek compensation from their employer, according to National Accident Helpline (NAH).

The company in part blamed defendant law firms for misleading claims about the level of fraudulent cases.

A poll of 2,000 people, conducted by Censuswide, found that 41% of people reported having suffered at least one of the three most common accidents that occur at work, and which are most likely to lead to compensation.

These are slips, trips or falls in the workplace, picking something up, or being hurt by defective machinery or working equipment.

More than two-thirds (68%) of those who had suffered an accident that was not their fault did not make a claim – 43% of this number said they were worried about the impact it could have on their career or relationship with their employer.

Among other reasons for not claiming, 12% said the thought of doing so made them scared due to ‘fears of lawyers or the legal system’.

NAH calculated that at least £284m could remain unclaimed by people who could have a employer’s liability claim. This was based on an average settlement of £8,000 and 35,300 fewer claims, based on official data of the number of such cases.

The poll confirmed that accidents at work continued to happen at an alarmingly high rate, despite a significant fall in claims since the pandemic.

The research echoed similar findings by the Health and Safety executive, which also found a significant fall in the number of people injured at work who pursue damages from their employer, despite an increase in the number of people actually injured in the workplace.

John Kushnick, NAH’s legal operations director, said: “We’re growing used to being told all claims are fraudulent, often by the very people providing the cover, despite the fact there is very little evidence to suggest there is as much fraud as defendants make out.

“Sadly, it is all part of the business model for the law firms that work with insurers, enabling them to justify their fees and to win more work.

“There need to be clearer consequences for raising such issues and a greater push on evidence of fraud when raised by defendants. In our society, nothing says making a claim is a good thing, and this stigma is having a direct impact on people’s working lives and how they rebuild them after an injury.”