by their job in 'new whiplash' scandal
The flood of claims for whiplash injuries became one of the big scandals of the last decade. Now the insurance industry is preparing itself for a new wave of victims claiming compensation – this time for deafness. Tens of thousands of claims for hearing loss blamed on noise in the workplace are already being processed and the phenomenon is being dubbed ‘the new whiplash’. And the outcry is set to grow louder after the Serious Fraud Office launched an investigation into accounting irregularities at insurance claims handler Quindell last week. Quindell, once a darling of the stock market, is being investigated after it emerged that its profits had been greatly exaggerated. At the centre of the issue are 50,000 claims for industrial hearing loss, which Quindell had been managing on behalf of claimants.
Accounting regulator the Financial Reporting Council is also investigating the firm. Quindell last week had to restate its accounts as it had been booking revenue from claims before they had been resolved. It has admitted that its profits in 2014 were £300 million lower than previously stated.The claims division of Quindell was sold earlier this year to Australian law firm Slater and Gordon. Whether the slew of claims from Quindell and other claims managers will lead to a huge bill for insurers – who stand to pick up the bill on behalf of their corporate clients –will depend on how vigorously they resist the claims. Insurance insiders said the sector has learnt the lessons of the whiplash boom and will fight them hard......Read more here
See our aad forum Blog Page HERE about Qundell
Scandal-riven Quindell hits the skids as the Serious Fraud Office opens investigation into firm