Accidents will happen

Despite recent bad press for after-the-event insurance, it will always be in demand while the general public believes it can avoid paying for a premium it may not need, says Mira Butterworth

After-the-event insurance has had a rocky time in recent months.

In addition to carrying much of the blame for fuelling the compensation culture in the UK, the industry's stability is now under scrutiny following the collapse of ATE giants Claims Direct last year and The Accident Group earlier this year.

Some commentators suggest demand for claims management companies will plummet as people start to take direct action through their solicitors.

But others claim that the sector's recent difficulties

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