Credit hire continues to present a complex and evolving challenge for insurers, with rising costs, shifting tactics, and ongoing legal developments increasing both financial exposure and operational pressure.

Last week, HF hosted a Credit Hire Forum in Manchester, bringing together insurer clients to explore current trends, share insights, and consider strategic approaches to managing claims effectively.

Expert contributions from barristers Corin Furness DDJ and Elizabeth Jones helped shape discussions throughout the day, reinforcing that credit hire remains a fast-moving area requiring continual adaptation.

Read on for the key takeaways from the day.

Technology improves efficiency but cannot replace expertise

Technology is playing an increasingly central role in supporting claims handling. The use of ELI was highlighted as a tool for driving greater consistency and efficiency across credit hire claims. However, as with any innovation, balance is essential. While technology can streamline processes and improve outcomes, handler expertise remains critical. Combining both effectively is key to achieving the best results.

Rising Taxi Claims Point to Regulatory Gaps

Taxi-related credit hire claims are continuing to rise across England & Wales and Northern Ireland, contributing to increased cost pressure for insurers. The trend highlights the need for reform in taxi licensing regimes and the importance of closer collaboration with licensing authorities. Strengthening these relationships will be key in challenging and defending claims more effectively.

Bike Claims require early action to prevent escalating costs

Bike claims continue to generate significant debate, particularly around issues of inspection, engineering evidence, and the challenges posed by excessive storage and recovery charges. These cases remain resource-intensive and highlight the need for early, robust intervention strategies.

Well-documented Intervention processes drive better outcomes

Intervention remains a cornerstone of effective credit hire strategy. While methods of delivery and communication have evolved with advancements in technology, the fundamental principles remain unchanged. Successful outcomes depend on having clear, well-documented processes and the ability to present these effectively in litigation.

Proposed Credit Hire Pre-Action Protocol

The proposed Credit Hire Pre-Action Protocol (PAP) highlights the need for a clearer and more structured framework for managing disputes. For any protocol to be effective, it must be robust, enforceable, and capable of driving consistent engagement from all parties.

Widespread adoption across the market, particularly within the CHO community, will be critical to ensuring the protocol delivers meaningful change and improves overall efficiency in credit hire litigation.

 

Credit hire continues to evolve, presenting both challenges and opportunities for insurers. Maintaining a proactive, informed, and strategic approach is critical to managing risk and controlling costs.

Forums such as this remain an important platform for sharing insight and aligning strategies and shaping future direction across the market.

If you would like to discuss any of the topics raised or explore how we can support your credit hire strategy, please get in touch at contactus@h-f.co.uk