Presentation on theme: "Post LASPO Charles Layfield Pannone Affinity Date 02.05.2013 www.pannone.com."— Presentation transcript:
Post LASPO Charles Layfield Pannone Affinity Date 02.05.2013 www.pannone.com
Referral fee ban - LASPO compliant models No fee paid Hot key transfer Operating a claims line Provision of services Regular fees Collective marketing Mixed legal services Lien as to costs ABS Recommendation not a referral
Relationship with the SRA Engagement with Relationship Managers Top 100 PI firms to be audited Review of all pre & post LASPO TOBA’s Examples will be made OFR compliance – onus on the law Comprehensive audit trail
CFA’s Law Society CFA Blended CFA Bespoke CFA Key issues: Enforceability - Success fees & VAT - Previous CFA defective - Risk management & PII
ATE Options: No cover, ATE, portfolio protection or self- funding Self funding: Solvency II & SRA’s concerns Risk management: Always recommend ATE & when? Different approach based upon value of the claim? Market information on ATE rates Previously annual review of ATE satisfactory. Now? Clear audit trail of the decision making processes
Success fees Where applicable, always 100%? Risk assessments required?
OFR: Best funding advice “Enter into fee agreements that are legal, suitable for the clients needs and take account of the client’s best interests”. Best advice: DBA/CFA/LEI BTE LEI checks – extent of?
Sucking eggs Average damages Litigation rates Average costs Average settlement periods Conversion rates
Cost budgeting Many DJ’s no experience of cost assessments DJ’s instructed to be strict on compliance No room to hide behind counsel Own MI is the best source of information Support services - online tools emerging
Customer conversion Of greater importance than ever Customers shopping around inevitable Training of staff – knowledge & emotional intelligence Use of outsourced support
Not sponsored by Ann slide Online appointments Reduced turnaround times - documents returned in minutes Same day return of documents now possible Completion of a standard suite of documents, including CNF Different to online sign ups - client apathy/customer journey Gordon’s guarantee
Tactics All new enquiries onto the portal? Defendants offering to pay 100% of compensation P36 offers + 10% uplift on general damages Pre-issue P36 offers no automatic entitlement to costs pre-issue Maximise litigation rates
Future of PI Reducing the Costs and Numbers of Whiplash claims consultation Ongoing ABS/new entrant activity Consolidation: Exits & mergers for scale Bank funding being withdrawn A time bomb: WIP banks offer limited protection
Future of PI Have scale or be niche Be lean whatever you are Differentiation & market positioning Customer selection – service & reputation?