Truth revealed on insurer practices

APIL's chief executive told the insurance industry to "get its own shoddy house in order" in response to a story about whiplash claims in The Times this week.

The story included figures from the ABI about how motorists' premiums are spent, and pointed the blame for high premiums at injured whiplash claimants.

In the letter, which was printed yesterday (Wednesday) Deborah Evans said "Insurers are fond of demonising people who suffer whiplash injuries in car accidents. It is a populist, if increasingly predictable, way for the Association of British Insurers to divert attention from the fact that its own research shows more of the motorist's premium is used to cover the cost of vehicle repair and replacement than anything else. Perhaps the ABI is hoping readers will forget that insurers' own practices in this area have been branded 'dysfunctional' by the Office of Fair Trading."