Ai Claims boss hails OFT referral

Ai Claims Solutions chief executive David Sandhu has welcomed the Office of Fair Trading’s (OFT’s) decision to refer the private motor market to the Competition Commission, but said any changes should be well-considered to rule out any future market dysfunction.

Sandhu said: “We support the decision of the OFT to refer the private motor market to the Competition Commission.

“In particular, we welcome the investigation into consumer detriment and we are pleased to note that the OFT accepts there must be a balance between the amount of extra premium paid by the motorist and the need for those involved in an accident to be properly catered for in the provision of a like-for-like replacement vehicle.

“The market is complex and a more thorough review by the Competition Commission would be helpful, but it is essential that any alternative model would not leave either customers with poorer service, or create new layers of dysfunctionality.”

Sandhu said he was pleased that the OFT appeared to have listened to Ai Claims’ arguments and removed earlier references to credit hires charges being inflated in today’s report.

He said: “Further developments of the GTA, such as a portal, will continue to assist both CHOs and insurers to the benefit of the consumer, and we encourage insurers to participate fully in the operation of the GTA.”