A report from the House of Commons Transport Committee states that the increase in claims for whiplash injury is the main cause of the rise in motor insurance premiums. Launching the report, committee chairman Louise Ellman said “whiplash claims were very costly for insurers to challenge and this was a type of injury ‘where diagnosis is often subjective.”
The report said that the rise in personal injury claims, most of which were for whiplash injuries, was "the main reason for the rise in premiums". It added "it is difficult to diagnose whiplash objectively and this has deterred insurers from defending claims in court. The report recommends that the bar should be raised when receiving compensation for whiplash cases. It is thought that if this resulted in a significant fall there would be a strong case to consider primary legislation to require objective evidence of a whiplash injury, or of the injury having a significant effect on the claimant's life, before compensation is paid.