In an example of the increasingly tough stance insurers are taking towards what they regard as fraudulent or seriously overstated claims, Zurich Insurance has recently applied to have a claimant jailed for contempt of court.
The insurer was defending a personal injury claim made by a person who alleged that the injury was the result of an accident in a car park and whose family gave evidence to that effect.
The insurer contended that the claim was an ‘audacious lie’, having happened whilst the claimant was on holiday.
Although the claim was dismissed, the High Court declined to imprison the claimant.