PIAB Announces First Awards

Press Release 9th May 2005

PIAB Announces First Awards

Accident victims no longer have to wait years for compensation -PIAB delivers within 9 months


Patricia Byron, Chief Executive of the Personal Injuries Assessment Board (PIAB) today, announced that it had made its first awards.

"I am delighted to announce that PIAB has made its first awards within 9 months as promised" said Ms Byron. "This is excellent news for accident victims who previously had to wait years to receive compensation. While award levels remain the same, the costs of delivering compensation and the time lines involved have been significantly reduced".

One of the reasons PIAB was set up was to cut the high level of delivery costs associated with compensation - these costs included legal, medical, actuarial costs etc. Typically they accounted for an average increase of 46% on top of the award and were a significant contributing factor to the high levels of insurance we pay in this country.

"We have done what we were asked to do and it is very encouraging for PIAB to see such a positive response from claimants; 80% of awards have been accepted" added Ms. Byron.

The establishment of PIAB was one of a number of key initiatives contained in the Government's Insurance Reform Programme. These initiatives have lead to reductions in insurance premiums for both consumers and business over the past 2 years.

Minister Micheál Martin warmly welcomed the news of PIAB's first awards. "These awards clearly show that the vast majority of personal injury claims can be resolved within 9 months of making a claim to PIAB. Excessive litigation costs have been removed and the injured person receives fair and prompt compensation. This is a good day for injured persons and all consumers" he said.

Ms Byron added "the results of our first awards clearly indicate a very high satisfaction level with the new system of making awards. Our customer research shows that claimants are happy with the new system and we are encouraged by the results of our customer surveys".

PIAB is open to the public 6 days a week from 8am to 8pm on LoCall 1890 829 121. Claimants can deal directly with PIAB or appoint an agent at their own cost.

PIAB Award Statistics

ENDS

For further information contact:
Sorcha Coady
Stephen Watkins

 

Appendix - Notes for Editors

 

Sample Case Studies
 Case 1Case 2
DetailsAccident at work - slip and fallMotor Accident
Date of AccidentMay 04October 01
Injury DetailsFractured ribsWhiplash/back injury
Date of AssessmentMarch 2005March 2005
Award€25000 General Damages, €1891 loss of earnings€17500 General Damages, €962 vouched expenses
Cost€1,050€1,250
No. of weeks application to assessment3423*
 No solicitor retainedSolicitor retained

* This personal injury claim application was only brought to PIAB in October 2004

Awards

Cases currently submitted to PIAB: 7841

First awards made within 9 months

- Accepted 20

- Rejected 5

- Total 25

First awards made within 6 months on average (statutory requirement is within 9 months)

Timelines

  • Litigation takes on average 3 - 4 years (source McAuley Report 1999)
  • PIAB awards made within 9 months.

 

Comparison of costs - Litigation System - vs - PIAB system

Litigation costs add on average 46% to the actual compensation figure (source MIAB report 2004 - study of average delivery costs for personal injury claims in Ireland 2001 - 2003). Below outlines typical costs under the PIAB system and the savings against the litigation system.

Litigation System - vs - PIAB system
Sample award amountAverage costs under litigation system (46%)Average PIAB cost

Savings

€50,000

€23,000

€1,250

€21,750

€20,000

€9,200

€1,250

€7,950

€5,000

€2,300

€1,250

€1,050

Customer Surveys

  • PIAB have carried out customer surveys on a daily basis since July 2004.
  • Overall satisfaction levels are in excess of 90%

Ends