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The publication of the Association of British Insurers (ABI) Code of Practice for the treatment of customers with RTA injuries represents an important move in ensuring the benefits of Motor Legal Expenses Insurance (MLEI) are fully available and utilised by those with cover.

The Code states that where the customer has the benefit of a MLEI policy the insurer commits not to recommend a legal services provider who will contract with the customer under a Conditional Fee Agreement or Damages Based Agreement which would involve any deduction being made from the customer’s damages.

Arc Legal fully supports any move that ensures a customer with MLEI is able to access the full level of any compensation or damages they are awarded and that no deductions under these kinds of agreements should be taken. This is directly aligned with the Arc Legal MLEI model which operates on a non-deductions basis to provide claimants with 100% of their compensation.

The ABI’s efforts to remove deductions models from the MLEI market will help ensure that claimants are provided with access to justice when they are injured as a result of a non-fault RTA.

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