Resolving Injury ClaimsResolving Injury ClaimsRisk managing the bitter pillRisk managing the bitter pill

with early care without unnecessary proceedings

The Current System Does Not Work!

For claimants

For the public sector

For lawyers Many have tried to fix it – none have succeeded

InterResolve has started afresh with a blank sheet

The InterResolve SchemeA completely new system for resolving injury claims

A ‘Care Network’ - involving Medical and rehab providers Responsible insurers, employers, local authorities, NGOs and others who

want to Help care for people from point of injury Identify and resolve legitimate claims Increase use of early rehab Attack fraud/exaggerated claims

– pre lawyer/pre-CMC

network Local

Authorities

Local PCT & GPs

Local CAB/ Law

Centres

Principals Service providers Other stakeholders

Medico-legal

providers

Rehab. provide

rs

LawAlliance

Contracted lawyers

Major employ

ers

NGOs &

others

Other public bodies

Claimants

InterResolveCentral IT system;

objective rehab assessments;

neutral facilitator and administrator

Start in the local community Payers; Lawyers; Service providers InterResolve is neutral, non-conflicted hub

The InterResolve Network

Public awareness and message Injury claims not just about money

Start to change public attitude Message will take time Concerted effort needed

Anti fraud measures Early offer of rehab can act as fraud filter Data sharing locally to identify serial claimants

Use network to develop

The InterResolve Network

Early rehabilitation treatment Early care/rehab can control/reduce future loss Start with objective assessment Get message out to those you want to help

But take care not to encourage claims

Use network to develop

Problems with current system

For claimants Delays and frustrations Traded and commoditised by CMCs Not told what really happens when respond

to TV ads Care/rehabilitation – too little/too late

Problems with current system

For payers Hugely disproportionate claims costs

Particularly for smaller claims PAP, ATE & MLR as though for litigation

Delays in being able to offer rehabilitation Fraudulent/frivolous/exaggerated claims

Problems with current system

For lawyers Case referral fees and advertising costs CFA formalities Cost of funding disbursements (inc

mediation) Costs wars & satellite litigation Cashflow delays and tight profit margins

The InterResolve Claims

Straightforward claims Providing earlier settlement With independent legal advice, but

Without formal legal representation

More complex claims Contractually agreed terms with lawyers for

Agreed/fixed costs Conduct without Pre-action Protocol Medical evidence Advanced ADR options

– at 50-80% less cost

A New Claims System

– all without need for legislation

A new group Specialist personal injury lawyers Contracted into InterResolve Claims scheme

LawAlliance

claims

Simple Claims

Legal & Medical

Opinions w/o representation

More Complex Claims

Referred to lawyers under

contract

Claimants

LawAlliance

InterResolve

No formal representation Early rehab report/ medical

prognosis Independent Legal Opinion

LA member can decline Neutrally facilitated settlement

claims

Contracted representation Agreed conduct of claim Agreed fixed legal costs

NCB Rules apply No costs disputes

Early mediation/ADR Opt out for CPR

Special ATE Costs crystallised

LawAllianceAdvisors first, litigators lastRoute 1

Simple Claims

Anonymised ILOs

(LA membership details public )

Route 2

More Complex Claims

Retained under

contract

No PAP No ATE

No CFAs No success

fees No referral

fees)) Total costs

(medical,) legal & IR) sub £1k ) = Savings 50-

80%)

The Benefits

The Benefits

The Benefits

The Benefits

The Winners

Legitimate claimantsEarly care/rehabilitationFewer delays/less frustrationEarlier claims settlementsGreater involvement in process and outcome

The Winners

Payers (insurers, employers, local authorities, NGOs and others)

Hugely reduced claims costs Reduced claims administration costs Reduced future general and special damagesFor EL – employees back to work Increased fraud control

The Winners

LawyersNew source of business Better business model ‘Free’ new cases without referral fees/ advertising

costs Cashflow and profitability benefits

(this is reason why so many now joining LawAlliance)

The WinnersUK Plc – the wider scene

Public Positive cultural change Public wellbeing

Business Reduced direct and indirect cost Workplace/reduced business interruption benefits

State Changes effected without legislation Relieved pressure on NHS Availability of data from scheme

Independent monitoring by Nottingham Trent University

Where we are nowLawAlliance

Detailed contract - terms negotiated with SSC

Announcement of launch this weekGrowing interest (inc from defendant firms)

Insurers, employers, LAs, NGOsExtensive discussions during 2005 Initial pilots (C.5,000 cases) targeted 2006Announcements due Spring 2006Keen for Local Authorities to join local

schemes

network Local

Authorities

Local PCT & GPs

Local CAB/ Law

Centres

Principals Service providers Other stakeholders

Medico-legal

providers

Rehab. provide

rs

LawAlliance

Contracted lawyers

Major employ

ers

NGOs &

others

Other public bodies

Claimants

InterResolveCentral IT system;

objective rehab assessments;

neutral facilitator and administrator

Start in the local community Payers; Lawyers; Service providers InterResolve is neutral, non-conflicted hub

Peter Ashdown-BarrManaging Director and CEO

peterab@inter-resolve.com020 7877 0370

InterResolve Holdings LtdTower 42, 25 Old Broad Street

London EC2N 1HN

www.irbics.com