As a rule, insurers use their claims experience and other industry-wide statistics to assess the risks posed by an individual and set the terms and price at which they will offer insurance cover. Insurers make an assessment of risk based on the likelihood of the individual making a claim and the potential cost of that claim. However, the Government remains concerned about the impact on motor insurance premiums from the continuing high number and cost of whiplash claims. This is why we committed in the Queen’s Speech to take firm action to reform the whiplash claims process and reduce the financial burden on consumers.