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Claims management services


Since 22  April 2007, a person may not provide regulated claims management services in England and Wales unless exempt or otherwise in receipt of a waiver, provide claims management services by way of business unless authorised by the Claims Management Services Regulator. [Compensation Act 2006 Part 2].

There is no corresponding regulation of claims management services in Northern Ireland or Scotland, although in the latter case there have been calls for such regulation [See: Sheriff Principal James A. Taylor's Review of Expenses and Funding of Civil Litigation in Scotland; Chapter 13].

Regulated claims management services in England and Wales

It is an offence for an unauthorised person to provide or offer regulated claims management services, or to pretend to be authorised. Offenders are punishable on conviction on indictment to an unlimited fine or two years' imprisonment or both.

Any claims management services provider working in the following sectors must be authorised by the Claims Management Regulator (CMR):

* personal injury;

* financial products and services;

* employment;

* criminal injuries compensation;

* industrial injuries disablement benefit;

* housing disrepair

Exempt persons: some professions and organisations are exempt from the requirement to be authorised, including:

* Solicitors, barristers, advocates and some other lawyers;

* Persons regulated by the Financial Services and Markets Act 2000;

* Charities and not for profit bodies;

* Motor Insurers' Bureau;

* Medical Protection Societies;

* Trade Unions.

Incidental referrals to lawyers are also exempt as are services in respect of counterclaims, or claims for contribution or indemnity.]

Claims Management Regulator

The Claims Management Regulator deals with applications for authorisation, makes and enforces rules of conduct for authorised persons, publishes guidance and develops policy.

For further detail on this Site, go to Claims Management Services.

[Page created: 04/08/2014]


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Further detail:
Claims management services.