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Grayling vows to crack down on car insurance cheats

Report & Video by Ashley Fudge

New plans have been announced in a bid to cut down the huge number of whiplash claims which have been pushing up insurance premiums.

Justice Secretary Chris Grayling has launched a consultation on creating new independent medical panels.

The idea is to better diagnose whiplash injuries so genuine claims still go ahead but fraudulent ones don't.

Mr Grayling said: "For too long honest drivers have been bearing the price of a system that has been open to abuse and it is time for that to change."

It is estimated that whiplash claims cost £2 million in 2010 and the Government says the plans are designed to stop the growth of compensation culture.

The consultation complements law changes which come into effect in April 2013. They include rebalancing no-win no-fee deals so losing defendants will no longer have to pay a success fee or legal insurance premium to the claimant's lawyer.

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