Managing director Andy Stark revealed the group was currently fighting “a handful” of cases where claimants had looked to cease legal actions but the consortium had decided to launch its own counter proceedings.
“We have definitely become more bullish in how we are defending our cases. I can’t talk about specifics but we’re absolutely adamant that we will be successful,” he told TTG at the Global conference in Orlando.
“It would have been quite easy for us to just drop the cases and leave them there, but there’s a point to be made from an ethical perspective and I think it is right to make those consumers and Claims Management Companies (CMCs) accountable for what they are doing.
“As a matter of principal there are some practices [they are doing] which we believe are wrong.”
“We are forcing the issue as we have categorical proof. In most cases you see, people are supposedly ill but then they are caught dancing on a bar in Magaluf.”
Speaking at last year’s conference, Stark warned the surge in fake claims would lead to increased insurance premiums, forcing travel firms to raise prices.
More than 12 months on, he reported Global had seen “quite a drastic reduction” in
claims.
In May, sickness claims were moved under the fixed-cost regime alongside other types of personal injury – closing a lucrative loophole and limiting the amount of legal costs that could be won by solicitors and CMCs.
Stark cited the move, as well as media coverage of the issue shedding light on malpractices in quelling the number of cases.
“Both have helped to suppress the frenzy around claims and illness that have been a massive financial threat to the industry,” he said.
He also highlighted the benefit of being a consortia member when it came to handling cases believed to be fraudulent.
“Some types of claims would be catastrophically difficult for a smaller business to deal with without the support a group like us gives to fight them,” said Stark.
