The ABI has recently revealed private car motor claim statistics for the first quarter of 2016.

767,000 private car claims were settled in this period, an increase of 8% compared to the last quarter. The increase in the number of settled motor claims may be a result of claimant solicitors being more open to lower offers at an earlier stage to make sure as many claims go through as possible before any further changes (namely those announced in the Autumn Statement and the extension of fixed costs) are brought in.

Headline figures include the average bodily injury claim for private car, which has increased 5% from the last quarter, to £10,885, and is at its highest level since the same period last year. This type of claim amounted to a substantial proportion of the total cost of settled claims, at a figure of 45%, despite only accounting for 9% of the total number of claims.

These increasing figures may be a reflection of inflation rates, the impact of the inclusion of catastrophic claims in the statistics or they may be attributable to the behaviour of claimant firms. Inflation tactics employed by claimant solicitors play a significant role, particularly as they become increasingly familiar with the post-Jackson claims structures.

The value of accidental damage claims has also risen in line with the pattern over the last 3 years; the average claim has risen by 8% to £1,691.

The amount of gross claims paid for those involving private cars also increased to £2bn, an increase of 7%. This, in turn, meant that the overall average claim settled at a slightly lower average figure of £2,710.