New portal figures for April illustrate impact of lockdown on claims
UK & Europe
Insurance & Reinsurance
Management information published by the Portal Company shows continued drop in claims placed in the Portal during lockdown.
A comparison between May 2019 and May 2020 is set out below:
|CNFs May 2020||CNFs May 2019||% Change from May 2019|
The clearest demonstration of the impact of the reduction in CNF numbers since the introduction of lockdown measures can be seen in the graphs below:
What can we expect to see in the coming months?
When considering the prospect of continuing and historically low CNF figures in the upcoming months, there are a variety of issues which will impact on the number of claims pursued.
The Government has recently loosened some of the lockdown measures, encouraging people to return to work where possible, the removal of restrictions on travel and the opening of non-essential shops. The easing of these restrictions is likely to prompt a greater number of incidents giving rise to claims than in April and May. This is consistent with information received from insurers which indicate that claims notifications to them are increasing to approximately two-thirds of pre-lockdown levels.
On the face of it, these changes will result in greater numbers of CNFs in the coming months. However, an increase in incidents will not necessarily manifest itself in CNF numbers. Claims Notification Forms cannot be registered on the Claims Portal by a litigant-in-person. Therefore, an increase in CNF numbers in the coming months will be dependent on the ability of claimant solicitors to obtain new instructions and progress those claims.
With the above in mind, it is possible that the number of claims registered in the coming months will rise in comparison to April and May 2020, but continue to be lower when compared to previous years.
We will continue to review the Claims Portal figures and provide updates in the coming months.