§ 7. Mr. HoodTo ask the Secretary of State for Scotland when she last met the insurance industry to review progress in paying compensation to asbestosis victims in Scotland. [51352]
§ 18. John RobertsonTo ask the Secretary of State for Scotland what progress has been made in securing the payment of compensation to asbestosis victims in Scotland. [51364]
§ Mrs. LiddellI had a meeting on 24 April with the Association of British Insurers, the Chester Street scheme administrators, Iron Trades Management Services (ITMS), the Financial Services Compensation Scheme, Thompsons and Eversheds. This was a further meeting to discuss the handling of claims against Chester Street Insurance Ltd.
This was a productive meeting. ITMS produced statistics showing the progress of claims since I chaired a previous meeting on Chester Street on 6 March. These figures showed that, at the end of February, 10.6 per cent. of settled claims against insolvent policyholders had been paid. By 19 April, 40.7 per cent. of these claims had been paid.
The meeting agreed that a service standard would be laid down covering claims against Chester Street where the original policyholder is insolvent. Under this service standard, acceptance documents will be sent to claimants' lawyers within 20 working days of a claim being agreed. Once claimants' lawyers return the acceptance documents, cheques will be released within five working days.
Payments totalling over £3 million have now been made by the Association of British Insurers and the Financial Services Compensation Scheme, who are the two bodies responsible for organising payments of claims where the policyholder is insolvent.
I am determined to ensure that agreed claims against Chester Street are paid as quickly as possible. I will continue to monitor progress very carefully.