Charter launched to exorcise nuisance marketing in personal injury sector

Irwin Mitchell, Hodge Jones and Allen, and the National Accident Helpline are just some of the signatories to the Ethical Marketing Charter, which aims to stamp out bad marketing practices in the personal injury sector, such as cold calling.

Launched today to ensure consumers are more adequately protected against rogue players in the industry, signatories to the charter have publicly committed to stand firmly against:

• Nuisance marketing: They never cold call or send spam texts or spam emails;

• The unethical buying and selling of accident data: They never misuse accident data to pressure people into making a claim; and

• Misleading advertising: They never induce personal injury claims by making false or misleading promises in their advertising, and are clear and upfront about any exclusions to the no win, no fee arrangements which fund the majority of claims.

In a report published earlier this year, the regulator Ofcom found that nine in ten people (86 per cent) receive at least one nuisance call every four weeks. Out of a list of 20, accident claims/compensation was the fifth most popular product or service being promoted by nuisance calls, beaten only by promotions for PPI claims, market research, solar panels, and home improvements, e.g. windows.

Kevin Rousell, head of claims management regulation at the Ministry of Justice said the Claims Management Regulator had been working hard to ensure that claims management companies (CMCs) behaved in an ethical and responsible manner.

'Any steps by the industry itself that may help improve practices and raise standards are to be welcomed,' he said. 'Bad conduct plagues the reputation of the claims management sector and all CMCs should commit to stamping out bad practice.'

Consumers will be able to report any breaches of the charter's principles to its administrator, the National Accident Helpline, which will facilitate a resolution between the signatory and the consumer and, if appropriate, report the signatory to the relevant regulator.

Jonathan Wheeler, president of the Association of Personal Injury Lawyers (APIL) said APIL was a strong supporter of ethical marketing initiatives and therefore welcomed the development of the charter.

Other inaugural signatories to the Charter are:

• Colemans-ctts;

• Emsleys;

• hlw Keeble Hawson;

• Lester Aldridge; and

• Scott Rees & Co.

Laura Clenshaw is the managing editor of Solicitors Journal

@L_Clenshaw