False injury claims 'low'

The incidence of fraudulent claims for personal injury taken against employers is "comparatively low", the Bar Council said in a statement yesterday.

The council made the statement while calling for the introduction of compulsory employers' liability insurance. A spokesman for employers' organisation IBEC said it was interesting that the only body looking for the introduction of compulsory insurance was one representing lawyers.

The council said it was time the recommendation by the 1976 Committee of Inquiry into the insurance industry - that compulsory liability insurance be introduced - was implemented.

"Unfortunately, employers organisations, including IBEC and the Small Firms' Association, have consistently opposed any suggestion that there should be legislation introduced to bring this about, while attacking the present system of awarding damages to employees injured by employers' negligence.

"Employers' organisations frequently complain about the alleged incidence of fraudulent claims for personal injury brought in the courts. However, the incidence of such claims is comparatively low and the existing courts-based system for adjudicating on personal injury claims is uniquely designed to test and destroy such claims."

A spokesman for IBEC said he agreed the incidence of fraudulent claims against employers was low although there was an issue with employees exaggerating injuries.

He said the Special Working Group on Personal Injury Compensation had considered the matter two years ago and had not recommended compulsory employers' liability insurance. He said the insurance industry was against the introduction of compulsory cover. There was a lot of concern, he added, about the legal costs associated with processing claims.