§ Mr. WaldenTo ask the President of the Board of Trade what steps the Government have taken to encourage speedy settlements by insurance companies. [10307]
§ Mr. OppenheimNone. This is a matter primarily for the insurance industry. The Association of British Insurers, the industry's principal trade association, has a code of practice which requires member insurers to settle valid claims without delay.
Dealing swiftly with claims is in the interest not only of policyholders but insurers. By settling claims quickly, they reduce their administrative costs. Failure to do so will encourage customers to turn to insurers offering better service.