Half the law firms that previously handled low-value RTA (road traffic accident) claims have ditched the work because it is no longer economically viable, research has shown
A ‘state of the market’ survey by First4Lawyers, which spoke to 66 law firms in the sector ahead of the first anniversary of the Official Injury Claim portal, heard the portal had made the work ‘unsustainable’.
Qamar Anwar, managing director, First4Lawyers, said: ‘Motor claims are at a record low and the data we have seen so far suggests that is, at least in part, because genuine claimants don’t understand the complex system.
‘Despite promising the portal would eliminate the need for lawyers, around 90% of users still instruct one. But the knock-on effect of such change is that people seeking a lawyer now find their choice is severely restricted.’
