NCJ Number
51693
Date Published
1978
Length
14 pages
Annotation
A BRIEF HISTORY OF THE MOVEMENT TO REFORM COMPENSATION FOR ACCIDENTS IS PROVIDED, AND THE PROS AND CONS OF A 'NO-FAULT' COMPENSATION SCHEME ARE PRESENTED, ALONG WITH A CONSIDERATION OF A NATIONAL INQUIRY COMMITTEE REPORT.
Abstract
AN HISTORICAL EXAMINATION OF THE ISSUES INVOLVED IN DEALING WITH FINANCIAL NEEDS ARISING FROM AUTOMOBILE AND WORK-RELATED ACCIDENTS IS PRESENTED TO INDICATE WIDESPREAD DISENCHANTMENT WITH THE ADVERSARIAL LITIGATION ASSOCIATED WITH OBTAINING FINANCIAL HELP NEEDED BECAUSE OF ACCIDENT-RELATED INJURIES. PRESSURE FOR REFORM IS BELIEVED TO HAVE GROWN IN RECENT YEARS BECAUSE OF THE HUGE NUMBERS OF PEOPLE WHO HAVE SUFFERRED FROM ACCIDENTS. ALTHOUGH PROPONENTS OF A 'NO-FAULT' APPROACH TO DEALING WITH ACCIDENT COMPENSATION HAVE INCREASED IN NUMBER, IT IS INDICATED THAT OBJECTIONS TO SUCH AN APPROACH TO COMPENSATION ARE FORMIDABLY VOICED, PRIMARILY BY LAWYERS. INCREASED INSURANCE RATES, FRAUD, AND A DIMINISHMENT OF THE AMOUNT OF COMPENSATION RECEIVED BY EACH ACCIDENT VICTIM ARE CITED AS BASIC OBJECTIONS TO THE 'NO-FAULT' SCHEME. THE BASIC PROPOSALS OF THE WOODHOUSE REPORT, A NATIONAL COMMITTEE OF INQUIRY REPORT, PRESENTED IN 1974 ARE EXPLAINED AND DISCUSSED. THE REPORT PROPOSES THAT A NATIONAL COMPENSATION PROGRAM PROVIDE BENEFITS IN THE EVENT OF INCAPACITATION OR DEATH DUE TO PERSONAL INJURY OR SICKNESS, WHATEVER THE CAUSE OR BASIS OF LIABILITY. THESE BENEFITS WOULD BE IN LIEU OF BENEFITS TO BE DERIVED FROM ANY OTHER COMPENSATION SOURCE. FUNDING WOULD BE FROM A GASOLINE TAX AND A 2 PERCENT LEVY ON EMPLOYERS AND SELF-EMPLOYED PEOPLE. AS OF THIS WRITING, THE SCHEME HAS NOT BEEN ADOPTED BY THE PARLIAMENT. OBJECTIONS TO THE WOODHOUSE PROPOSALS ARE DISCUSSED. IT IS BELIEVED, HOWEVER, THAT SUPPORT FOR THIS OR A SIMILAR 'NO-FAULT' COMPENSATION PROGRAM REMAINS STRONG AND IS LIKELY TO INCREASE. THE DISCUSSION BY CONFERENCE MEMBERS FOLLOWING THIS REPORT IS PROVIDED IN SUMMARY FORM. (RCB)