Motor Traffic (Third Party Insurance) (Expenses Limits) (Jersey) Order 2013: Annual Increase Consultation

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A decision made 21 March 2016:

Decision Reference: MD-T-2016-0030
Decision Summary Title :	Motor Traffic (Third Party Insurance) (Expenses Limits) (Jersey) Order 2013 – Annual Increase		Date of Decision Summary:	15 March 2016
Decision Summary Author:	Registration Manager – Driver & Vehicle Standards		Decision Summary: Public or Exempt?	Public
Type of Report: Oral or Written?	Written		Person Giving Oral Report:	N/A
Written Report Title :	Motor Traffic (Third Party Insurance) (Expenses Limits) (Jersey) Order 2013 – Annual Increase		Date of Written Report:	15 March 2016
Written Report Author:	Registration Manager – Driver & Vehicle Standards		Written Report : Public or Exempt?	Public
Subject: Motor Traffic (Third Party Insurance) (Expenses Limits) (Jersey) Order 2013
Decision(s): The Minister:- Acknowledged the Minister for Health and Social Services had consulted him on the proposed revised charges; Supported the Minister for Health and Social Services in introducing these proposed revised charges.
Reason(s) for Decision: To maintain procedures for the recovery of the costs of treating persons injured in road traffic accidents.
Resource Implications: There are no resource implications for DFI
Action required: Registration Manager to confirm to the Health and Social Services Department the Minister’s support for the proposed charges.
Signature:		Position: Minister for Infrastructure
Date Signed:		Date of Decision (If different from Date Signed):

Motor Traffic (Third Party Insurance) (Expenses Limits) (Jersey) Order 2013: Annual Increase Consultation

DEPARTMENT FOR INFRASTRUCTURE

DVS UNIT

MOTOR TRAFFIC (THIRD-PARTY INSURANCE) (EXPENSES LIMITS) (JERSEY)

ORDER 2013 - ANNUAL INCREASE

Purpose of the Report

To confirm that the Minister for Health and Social Services has consulted the Minister for Infrastructure on amending the Schedule to the Motor Traffic (Third-Party Insurance) (Expenses Limits) (Jersey) Order 2013, which sets out the tariffs and ceiling on charges for costs recovered from third-party insurers for treating persons injured in road traffic accidents.

Background

The Minister for Infrastructure is generally responsible for the Motor Traffic (Third-Party Insurance) (Jersey) Law 1948. In May 2012, following approval by the Privy Council, the Motor Traffic (Third-Party Insurance) (Amendment No.12) (Jersey) Law 2012 came into effect. Under Article 3(2B) of the amended Law, the Minister for H&SS must consult the Minister for Infrastructure (formerly TTS) when prescribing, by Order, “the limits on the amounts of expenses to be paid in respect of a person who dies or is bodily injured”, from motor insurers, following a road traffic accident.

Discussion

The Motor Traffic (Third-Party Insurance) (Expenses Limits) (Jersey) Order 2013 sets out the tariffs and ceiling on charges for costs so that maximum amounts may be recovered from third-party insurers in respect of the costs of treatment and ambulance services provided for victims of road traffic accidents.

The Compensation Recovery Unit, on behalf of the Department of Health, currently administers this scheme in the UK where it is called The NHS Injury Cost Recovery (ICR) Scheme. Since February 2013 they have also administered it for Health and Social Services in Jersey.

It was previously agreed that the tariffs in Jersey would be the same as those in the UK and should be uplifted annually to reflect increases in costs, as happens in the UK. The annual uplift in the UK occurs on 01 April each year.

The tariff and ceiling on charges (cap) payable by compensators for the recovery of treatment and ambulance costs will increase from 01 April 2016. The increases will apply only to injuries sustained on or after this date.

The Table below shows the proposed uplift for 2016 which the Minister for H&SS would intend to set out in the Order.

Expenses Limits

Period within which injury occurred

Ambulance services

Out-patient

Treatment

In-patient treatment per day or part

Total maximum amount

On or after 01.04.2015

£195

£647

£796

£47,569

On or after 01.04.2016

£201

£665

£817

£48,849

Prior to approving instructions to the Law Draftsman to prepare an Order under Article 3 of the Motor Traffic (Third-Party Insurance) (Jersey) Law 1948 to reflect the revised charges, the Minister for H&SS is consulting the Minister for Infrastructure on these revised charges.

Recommendation

The Minister is asked to:-

Acknowledge the Minister for H&SS has consulted him on the proposed revised charges;
Support the Minister for H&SS in introducing these proposed revised charges.

Reason(s) for Decision

To maintain procedures for the recovery of the costs of treating persons injured in road traffic accidents.

Action required

The Registration Manager – Driver and Vehicle Standards, to confirm to Health and Social Services the Minister’s support for the proposed charges.

Written by: Registration Manager – Driver & Vehicle Standards

Endorsed by: Head of Driver & Vehicle Standards, Inspector of Motor Traffic

Approved by: Director of Transport