BLM has published an analysis of the data captured within the Ministry of Justice RTA portal.
The full report can be accessed here.
Key conclusions from the Portal date include:
- April saw the number of CNFs sent fall back to 73,000 from over 81,000 in March.
- Statistically the volume of CNFs sent by claimant organisations in 2014/15 increased by 94,983 cases or 12.3%.
- The total CNFs for 2014/15 therefore reached the upper limit of our projection last month of 866,000.
- The higher volume of CNFs has increased the volume of Stage 1 exits, but relative to the CNF increase, it appears that insurers have improved Stage 1 retentions by 1.2% like for like.
- Stage 2 exits for inability to agree quantum or for incompleteness have also increased, but the actual number of claims involved is marginal at 846 and the % relative to the total number of CNFs sent is only fractionally less at 1.5%. In effect no change.
- The number of claims using the Exit Process has also increased, by 10.6%, but again the % change relative to the total number of CNFs sent is marginal (0.4%). A slight improvement.
- Stage 2 settlements are down by 17,906 despite the higher volume of CNFs. As a percentage of the CNFs received the decrease is 5.5%.
- No time limit is placed on movement from Stage 2 to Stage 3. While the actual number of claims still in the process has increased by over 45%, the % increase relative to the number of CNFs received is 5.1%, suggesting improved processes. Litigation has not demonstrably increased.
- Most striking is the increase to the average number of MOJ Stage 3 packs issued monthly, up by 96.5% compared to last year, and an increase to 4.4% of the total number of CNFs sent.
- There continues to be a number of positives for insurers in this data.
- Stage 2 exits for quantum reasons are essentially static and although Stage 3 packs indicate litigation, it is of the cost controlled kind.
- The issue remains the extent to which the increased number of claims still between Stage 2 and Stage 3 settle or fall out of the process completely.