Insurance Industry Opposes Compensation for Pleural Plaques
Four insurance companies - Aviva, AXA Insurance, RSA and Zurich - have asked for a review of the Damages (Asbestos-related conditions) (Scotland) Act. The Act forces insurance companies to pay compensation to those suffering from the condition known as pleural plaques, and in effect overrides the House of Lords’ decision in the 2007 Rothwell case.
The four companies who have asked for the judicial review control more than 50% of the employers’ liability insurance market, and their concerns about the Act are shared by many other insurers. The main grounds for opposition to the Act are as follows:
1. It overlooks medical research that points to the fact that plaques do not show any symptoms, and have no relation to asbestos-related problems 2. It is in stark contrast to the well-established principle in British law that makes compensation payable only in situations where the employee is exposed to a risk through the negligence of the employer, and thereafter suffers some bodily harm. 3. It might encourage people to make compensation claims when merely exposed to a risk even if no symptoms exist, leading to higher insurance costs across the board for all firms, which could cause harm to the economy.
The reaction from within the insurance industry to the move has been supportive, though ABI’s Director of General Insurance and Health, Nick Starling, was quick to clarify that the insurers had no alternative left but to challenge the law. He explained that the Act disregards the basic legal rule of negligence, and does not give medical evidence the importance that it merits.
He also clarified the position that insurers have currently adopted, saying that they remain dedicated to recompensing those who have actually suffered bodily harm as a result of negligent exposure, but are not willing to pay those who may also have been similarly exposed, but suffer no symptoms.
All staff and management must be fully aware of and comply with health and safety regulations as laid down by law. Click here for more information on a range of nebosh certificate courses available from the experts at Workplace Law Training.
