The Ministry of Justice (MOJ)
The Ministry of Justice (www.justice.gov.uk) is responsible for improvements to the justice system and is headed by the Lord Chancellor and the Secretary of State of Justice. In general the department has the main aim of reducing re-offending, providing access to justice, upholding civil liberties and increasing public confidence in the justice system. The Ministry handles the relationship between the three devolved UK governments (Wales, Scotland and Northern Ireland) and the UK government. It also operates the international justice policy, human rights policies, information laws and criminal justice issues among other areas. The Ministry of Justice has responsibility for the courts, the prisons, the probation service and attendance centres. They make new laws covering criminal, civil, democracy and human rights and family justice. When it comes to the regulation of claims managements, the Ministry of Justice has brought in a series of measures and regulatory bodies to ensure the claims management industry acts responsibly and legally. The regulator provide information for both the consumer and the business owner to ensure that the claims management process is fair and open. Claims management companies can be regulated by the Claims Management Regulator and it is in the best interests of anyone using one of these services to check that the company is authorised by the regulator. It is possible to find this out by checking the regulator's website. The Claims Management Regulator is responsible to regulating the claims management industry under the Compensation Act 2006. Any claims management company operating in England or Wales must be registered with the regulator. Any business authorised in this way must follow a set of strict rules.
One of the most common reasons that the UK public are now using claims management companies is to get compensation for PPI insurance. This form of insurance was found to have been mis-sold in a huge percentage of cases and claims management companies have stepped in to help members of the public make their claims. There has been some criticism that some claims management companies are encouraging claims which are not valid or that they are using tactics which do not fit in the the code of conduct to get new clients. The Ministry of Justice points out that making a claim for PPI compensation is a simple case of contacting the loan provider and following their procedures. In most cases this will not require the services of a claims management company. Research revealed in April 2012 showed that 25% of people were not aware that PPI claims could be made without the help of a specialist company. The regulator would like to see this issue made more clear to the public. |
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