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The Big (PI) Issue

15 April 2010 / Stuart Kightley
Issue: 7413 / Categories: Opinion , Costs
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If a 584-page report can be distilled into one basic question it is this: who should meet the cost of funding personal injury litigation?

If a 584-page report can be distilled into one basic question it is this: who should meet the cost of funding personal injury litigation?

Sir Rupert answers his own question emphatically: defendants should no longer meet the cost of these additional liabilities, and the Back to the Future solution is for the burden to fall onto the individual claimant.

What has changed in 10 years that makes it now so iniquitous that defendants should continue to pay success fees and after the event (ATE) premiums?

Liability insurers have certainly complained long and loud over this additional expense and the system has been mired in satellite litigation.
Success fee percentages have gone down over this period, so that in the vast majority of PI cases success fees are fixed at 12.5% or 25%. ATE premiums have, however, increased significantly, partly because there is no effective mechanism whereby the payer can control

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