§ Mr. KidneyTo ask the Secretary of State for the Environment, Transport and the Regions if he will review the arrangements in place currently for claims handling in respect of claims against operators of rail services, with particular reference to the experiences of those persons submitting claims arising out of the Rickerscote rail crash at Stafford on 8 March 1996. [2862]
§ Ms Glenda JacksonThe arrangements for claims handling are governed by the Claims Allocation and Handling Agreement (CAHA), which is currently being reviewed by the Rail Industry Disputes Resolution Committee—a committee of industry representatives with an independent Chairman. Their proposals for changes to the Agreement will be submitted to the Rail Regulator for approval.
The Rail Regulator has initiated a separate review of third party liability insurance in relation to "privately owned rail vehicles" (defined as ones which are both owned by a company outside the licensing regime of the Railways Act 1993 and which are operated without the benefit of a lease or other agreement which transfers liability for the vehicle to a licensed train operator). He believes that it is in the interests of both the rail industry and third parties that a practical solution is found to the third party liability issues surrounding such vehicles. I understand the Rail Regulator intends to publish a consultation document later this year.
§ Mr. KidneyTo ask the Secretary of State for the Environment, Transport and the Regions what public liability insurance is required of(a) Railtrack plc, (b) licensed operators of rail services and (c) other operators of rail services. [2861]
§ Ms JacksonLicensed operators, including Railtrack, are required by the Rail Regulator to carry third party liability cover of at least £155 million, unless the Regulator agrees a lower figure in specific circumstances. In the case of companies providing services to the rail network who fall outside the Regulator's licensing powers, the level of third party liability insurance is a matter of commercial judgment. However, in the case of unlicensed contractors and sub-contractors, the Regulator has required licensed operators to provide, in their own insurance, cover for the difference between the contractor's insurance and £155 million.
§ Mr. KidneyTo ask the Secretary of State for the Environment, Transport and the Regions what regulatory framework governs claims procedures in respect of the franchised railway companies; and what role the Rail Regulator has in respect of them. [2863]
§ Ms JacksonAll licensed railway operators, including Railtrack, are required by their licences to be a party to claims handling arrangements approved by the Rail Regulator. The railway industry established the Claims Allocation and Handling Agreement (CAHA) in early 523W 1994. This continues to be the means by which all operators fulfil this licence obligation. The Rail Regulator is responsible for enforcing licence conditions.