Personal injury claims in England and Wales have changed significantly since the Civil Liability Act 2018 took effect on 31 May 2021. These changes have mainly affected how whiplash and other minor injury claims are handled, valued, and compensated. New rules include a fixed tariff for whiplash compensation, an increase in the small claims track limit, and a new online portal for claimants.
At Professional Saver, we know these changes can be unclear for people who have been injured and are thinking about making a claim. Our team has over 20 years of experience and helps professionals protect themselves with the right insurance. While we mainly focus on providing insurance for different professionals, we also keep our clients informed about legal updates that could impact them, whether they’re potential claimants or businesses worried about liability.
What Key Changes Were Introduced in May 2021?
The whiplash reforms introduced several important changes to the personal injury claims process:
- Official Injury Claim (OIC) portal – A new government online service for road traffic accident claims worth less than £5,000.
- Higher small claims limit – Increased from £1,000 to £5,000 for road traffic accident claims.
- Fixed compensation tariffs – Set compensation amounts for whiplash injuries, based on how long they last.
- Limits on legal cost recovery – If a claim is worth less than £5,000, claimants usually can’t recover their legal fees from the other side.
- Medical reports required – Claims can’t be settled without medical evidence.
These changes were mainly brought in to reduce fake or exaggerated whiplash claims and to help lower car insurance costs for drivers.
How Does the New Official Injury Claim Portal Work?
The Official Injury Claim (OIC) portal is an online system that lets people make and manage their own claims without needing a solicitor.
The portal is for:
- Road traffic accident claims worth less than £5,000
- Accidents that happened on or after 31 May 2021
- Adults making claims (under 18s still need legal help)
- Claims involving drivers, passengers, or certain vulnerable road users
With the OIC portal, claimants can:
- Submit their claim
- Upload evidence
- Get a medical report
- Negotiate with the other party’s insurer
- Settle their claim
Although the system is designed to be simple, personal injury claims can still be complicated. So, many people still choose to get legal advice. But remember that you can’t claim legal costs back for cases under £5,000. This means you’ll either need to pay for legal counsel yourself or accept a lower payout.
What Injuries Are Covered by the New Fixed Tariff System?
If you’ve been injured in a road traffic accident, it’s important to know whether your injury falls under the new fixed tariff system. The following explains which injuries are covered, starting with how “whiplash” is officially defined.
What Exactly Counts as a “Whiplash Injury”?
The Civil Liability Act 2018 provides a specific definition of whiplash injuries as:
(1) In this Part “whiplash injury” means an injury of soft tissue in the neck, back or shoulder that is of a description falling within subsection (2), but not including an injury excepted by subsection (3).
(2) An injury falls within this subsection if it is—
(a) a sprain, strain, tear, rupture or lesser damage of a muscle, tendon or ligament in the neck, back or shoulder, or
(b) an injury of soft tissue associated with a muscle, tendon or ligament in the neck, back or shoulder.
Importantly, this definition does not include:
- Fractures or dislocations
- Injuries to internal organs
- Psychological injuries (unless accompanied by physical whiplash)
- Nerve damage or dysfunction
- Injuries to structures other than muscles, tendons, or ligaments
What Are the New Fixed Compensation Amounts?
The tariff system sets fixed compensation amounts based on the duration of the whiplash injury:
| Duration of Injury | Amount (one or more whiplash injuries taken together) | Amount (with minor psychological injury) |
| Not more than 3 months | £240 | £260 |
| More than 3 months, not more than 6 months | £495 | £520 |
| More than 6 months, not more than 9 months | £840 | £895 |
| More than 9 months, not more than 12 months | £1,320 | £1,390 |
| More than 12 months, not more than 15 months | £2,040 | £2,125 |
| More than 15 months, not more than 18 months | £3,005 | £3,100 |
| More than 18 months, not more than 24 months | £4,215 | £4,345 |
Data extracted from The Whiplash Injury Regulations 2021
How Do These Changes Affect Non-Whiplash Injuries?
The new fixed tariff only applies to whiplash injuries. Other injuries are still valued the old way, i.e. using court guidelines and past cases. This creates a two-part system where:
- Whiplash injuries use the fixed tariff
- Other injuries (like broken bones, scars, or psychological injuries without whiplash) are valued separately
If a claim includes different types of injuries (called a “mixed claim”), it can be more complicated. The whiplash part follows the tariff, and the other injuries are assessed on their own. This makes mixed claims harder to deal with.
Are There Any Exceptions to These New Rules?
There are several important exceptions to the new whiplash reforms and the fixed tariff system. Here’s a simple breakdown:
Higher-Value Claims
If your injury claim is worth more than £5,000 for injuries (or more than £10,000 in total), it won’t follow the new small claims process. These claims stay on the standard track, where you may be able to recover legal costs.
More Serious Injuries
The fixed whiplash tariff only applies when the injuries are whiplash (or whiplash plus a minor psychological injury). If you have a more serious injury from the same accident, your whole claim may be assessed differently and not follow the tariff system.
Vulnerable Road Users
Cyclists, motorcyclists, pedestrians, and horse riders aren’t affected by the higher small claims limit or the fixed tariff. They can continue to bring claims under the old rules.
Children and Protected Parties
Claims involving children (under 18) or people who lack mental capacity don’t follow the new rules. These cases have their own process, and legal costs can usually be recovered.
Claims Against the MIB
If you’re making a claim through the Motor Insurers’ Bureau (MIB) for an accident caused by an untraced or uninsured driver, the new whiplash tariff doesn’t apply.
Non-Road Traffic Accident (RTA) Claims
The reforms only apply to road traffic accidents. If your injury happened at work or in public, the old £1,000 small claims limit still applies.
Bankruptcy
If the claimant is bankrupt, the fixed tariff may not apply, and the claim may be treated differently.
What Should I Do If I Need to Make a Personal Injury Claim?
If you’ve suffered an injury and are considering making a claim, key steps you can take include:
- Seek immediate medical attention – Your health comes first, and medical records will be crucial evidence.
- Gather evidence – Collect witness details, photographs, and any other relevant information.
- Consider the value of your claim – This will determine which process applies to your case.
- Decide on representation – Determine whether you need legal advice despite potential cost implications.
- Submit your claim promptly – Remember there’s a three-year limitation period for most personal injury claims.
Should I Use a Solicitor Despite the Costs?
Even though you might not be able to claim back legal costs, getting advice from a solicitor can still be very helpful. Personal injury claims can be complicated, and insurance companies have a lot of experience and resources. A solicitor can:
- Help you work out how much your claim is really worth (especially if you have more than one type of injury)
- Guide you through the process and help gather the right evidence
- Deal with the insurer and negotiate on your behalf
- Spot any special circumstances that could mean you deserve more compensation
- Make sure you aren’t offered less than you should get just because you don’t know the legal system
What These Changes Mean for Professionals and Insurance
If you work with clients or the public, these reforms are a reminder of why having the right liability insurance is so important. Even though the changes may lower some claim costs for insurers over time, it’s still essential to have good coverage in place.
The whiplash reforms show how quickly the law can change. This could affect how liability and compensation work in different industries. If you work in areas like consulting, design, healthcare, or any role where you deal with clients, having strong liability insurance isn’t just a good idea – it’s necessary.
These changes might also lead to updates in how claims are handled in other areas, not just road traffic accidents. Fixed compensation amounts and online claims systems could become more common, making it even more important to protect yourself with the right insurance.
Protect Your Business With the Right Insurance
At Professional Saver, we make it easy for professionals to get the insurance they need. Our public liability insurance starts from just £54 per year and helps protect you if someone is injured or their property is damaged because of your work.
We know the rules around claims and liability are always changing. That’s why we take the time to understand your business and recommend insurance that gives you the right level of protection. Whether you’re a consultant, designer, IT specialist, or work in another profession, we can help you find cover that fits your needs.
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