Shadow denfence minister calls for better compensation scheme.
The shadow defence minister, Andrew Murrison, has called on the government to improve its Armed Forces Compensation Scheme and stop requiring soldiers to pay for private insurance schemes.
Service personnel are free to choose their own cover, but the MoD officially promotes Pax, which offers personal accident cover and optional life insurance through AIG.
The MoD’s own scheme is under review and pay-outs could be trebled. Currently, the scheme’s maximum payout is £285,000 for major injuries such as loss of both legs and both arms.
Murrison said: “The adjutant general continues to push private insurance schemes such as Pax that cost the private soldier a month’s pay to cover risks run on our behalf in Iraq, Afghanistan and the Balkans.”
Labour MP Derek Twigg hit back pointing out the Conservative party had supported the Armed Forces Compensation Scheme when it was introduced in 2005.
