Motorists are being fleeced of £2billion a year in unnecessary insurance costs caused by money-grabbing ‘parasites’ and ‘dodgy solicitors’ whose actions are little short of criminal, MP’s were told yesterday. Former Home Secretary Jack Straw took a swipe at lawyers, claims firms, garages, credit hire firms and others engaged in a controversial cash-for-contacts referral fee ‘racket’ which he said in any other walk of life would be condemned as ‘bribery.’
He told the House of Commons Transport Committee that as a result of the claims ‘merry–go-round’ some rocketing car insurance premiums have now reached ‘extortionate’ levels. Justice minister Jonathan Djanogly reiterated the Government’s intention to outlaw referral fees, crack-down on bogus whiplash claims, to spare the UK’s...Read more here-->Referral fee 'parasites' adding £2bn a year to car insurance costs, blasts Jack Straw | This is Money