One of the country’s biggest claims management companies has outlined how the government’s whiplash reforms could play into its hands. National Accident Helpline told the London Stock Exchange it will change its business model in response to plans to raise the small claims limit to £5,000.

Some industry insiders have warned that claims numbers are unlikely to come down as CMCs will pick up more work.

That may be in question given the government also proposes a cap on whiplash damages, but NAHL appears confident it can benefit from the changes.

‘The group has continued to plan for a range of potential outcomes and remains committed to providing high-quality advice, support and access to justice for genuine claimants, said the stock exchange statement.

‘As announced at the group’s interim results, we have been building closer relationships with our key panel law firms, and expect that the new regulatory environment will give us the opportunity to play a more proactive role in the entire conduct and financing of a PI case in the medium to long term.

‘The group is currently trialling an initial small proportion of our enquiries through different commercial and structural arrangements to those we normally deploy.’

Despite the company’s bullish response, the stock market response was not so confident, with the share price falling 13% to 195p.

MoJ set to impose £5k small claims limit