Cameron calls car insurance summit

Action will be taken to reduce the £2 billion-a-year cost of insurance claims for whiplash to help deal with the UK's "compensation culture", David Cameron will say today.

The Prime Minister is hosting a summit with insurance, consumer and business groups at Downing Street to discuss ways to bring down soaring premiums.

Britain has become "the whiplash capital of Europe", Number 10 said, with 1,500 claims a day for even the most minor accidents adding £90 a year to the average bill.

Ministers are examining recent calls by the Commons Transport Committee for a higher threshold - using factors such as speed or more extensive medical evidence.

Other issues to be examined are the wider use of in-car monitoring of young drivers, reform of the "no win, no fee" system and reducing lawyer fees for small personal accident cases.

Concerns raised by businesses that they are being forced to go far beyond legal minimums in order to secure insurance cover will also be discussed.

Mr Cameron is expected to say: "I am determined to tackle this damaging compensation culture which has been pushing up premiums."

Copyright Press Association 2012