This is an HTML version of an attachment to the Freedom of Information request 'Statistics on common law compensation claims against the MODs'.


 
 
 
 
MOD Compensation Claims
 
Financial Year 2014/15
 
 
Published 9 June 2016
 
 
This bulletin relates to claims brought against the Ministry of Defence for compensation at common 
law (other than those arising out of contract disputes). These are dealt with by the Claims Unit 
within the Department’s Directorate of Judicial Engagement Policy (DJEP), by contractors 
operating in accordance with instructions provided by the Claims Unit, or by delegated authorities1.   
 
  Key Points  
 
  Total payments by MOD for compensation claims and associated costs in Financial Year 14/15 
  (not including those arising out of contract disputes) were £85.1M. This does not include MOD 
legal costs which totalled £11.8M exclusive of staff costs. Over the same period recoveries 
totalling around £1.6M were made.  
  The highest value claim that was settled on all costs in 14/15 was for clinical negligence. The 
total value of this claim (damages and claimants’ costs) was just under £2.4M.  
  The total number of new claims brought against MOD was 5814. This represents a decrease of 
around 15% compared with 13/14.  
  1898 Service Personnel Employer’s liability claims were settled in 14/15. In-year expenditure2 on 
Service Personnel Employer’s liability claims was just under £52M.  
  336 Civilian Employer’s Liability claims were settled in 14/15.  In-year expenditure on Civilian 
Employer’s liability claims was around £15M.  
  1400 Public Liability claims were settled in 14/15, of which 1154 were third party motor claims in 
the UK.  In-year expenditure on Public Liability claims was just under £8M of which £4.5M was 
accounted for by motor claims. 
  21 Clinical Negligence claims were settled in 14/15. In-year expenditure on Clinical Negligence 
claims was £5.8M
  The in-year expenditure on structured settlements/periodic payments was just under £2.9M
  681 claims were settled by delegated authorities1 in 14/15. The in/year expenditure for delegated 
authorities was £1.4M with recoveries in excess of £218,000.  
 
1. Delegated authorities such as overseas Area Claims Offices (ACOs) and the Defence Infrastructure Organisation (DIO)  
2. In- year expenditure is inclusive of damages and other costs, such as claimants’ legal costs and medical fees. It does not include 
MOD legal costs. Expenditure may include interim payments for active claims as well as final payments for settled claims. 
  
Point of contact:
 Deputy Head of Common Law Claims and Policy,  Tel: 0207 218 1538 
    
 
Further information/mailing list:    
 
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Contents
Introduction 
Page 2 
 
Introduction 
 
When compensation claims are received they are considered on the basis 
Page 3 
of whether or not the Ministry of Defence has a legal liability to pay 
Section 1 
compensation. A payment of compensation in circumstances where the 
New claims 
Department does not consider that a court would find it liable would count as 
 
an ex gratia payment, and the Department is not empowered to make such 
Page 4 
payments without Treasury authorisation, which is rarely sought or given.  
   Section 2 
The only exceptions to this rule relate to claims arising from low flying and to 
      Settled claims 
certain claims settled in theatre by Area Claims Officers.  
 
The amount of compensation paid is determined by common law principles 
Page 5 
which broadly take account, as appropriate, of such factors as an 
Section 3 
individual’s pain and suffering, degree of injury, property losses, past and 
Cost of claims 
future financial losses and level of care required. Advice is sought where 
 
necessary from the Government Legal Department, and the Department’s 
Page 6 
commercial claims handlers’ panel solicitors for cases brought in England 
Further information 
and Wales; the Crown Solicitor in Northern Ireland; and Morton Fraser 
Solicitors, the Department’s legal adviser in Scotland. Counsel are also 
 
consulted on high profile or complex cases or where a point of law needs to 
be explored. The majority of cases are settled through negotiation in order 
to save the parties the additional costs of a court appearance. This bulletin 
does not distinguish between compensation ordered by a court and 
compensation paid pursuant to a negotiated settlement. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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Section 1 Compensation claims made against the MOD   
The total number of new claims brought against MOD in 14/15 was 5814. This represents a 
decrease of around 15% compared with 13/14. There has been a significant reduction in the area 
claims office in Afghanistan where claims have dropped as a result of the withdrawal of troops from 
the area (399 claims received in 13/14 compared to 33 in 14/15). There has also been a fall in the 
number of claims received for noise-induced hearing loss cases, although it still remains the most 
commonly claimed for condition in the employer’s liability claims category. The number of Public 
Liability claims peaked in 13/14 owing to the large number of Iraq Civilian Litigation claims (617). In 
14/15 189 Iraq Private Law Public Liability claims have been served. 
 
 
Table 1 New claims, by category (1 Apr 2014 – 31 Mar 2015) 
  
 
Number of claims
Total new claims brought 
5 814
Public Liability 
2 153
Motor 
1 571
Personal injury 
 245
Property/ vehicle damage 
1 320
Vehicle overseas 
 6
Other Public Liability  
 582
Iraq Private Law 
 189
Personal Injury 
186
Low flying 
 96
NI Security Forces 
 30
Maritime 
 8
Other1 
 73
  
 
Employer’s Liability 
2 887
Service 
2 381
Noise-induced hearing loss 
1 838
Non-freezing cold injury 
 145
Other 
 398
Civilian2 
 506
Noise-induced hearing loss 
 202
Inhalation or Ingestion of Asbestos 
 139
Other 
 165
  
  
Clinical negligence 
 95
  
 
Other 
679
Area Claims Offices (ACOs) 
663
Defence Infrastructure Organisation (DIO) 
16p
  Source: Directorate of Judicial Engagement Policy Common Law Claims & Policy team
 
1.  This category includes, for example, property damage claims which usually come from personnel working and living in 
service accommodation who have had their belonging damaged by poor maintenance of their accommodation or infrastructure 
2. All MOD civilian employees including members of the Ministry of Defence Guard Service (MGS) and Ministry of Defence 
Police (MDP). 
 
 
p This is a provisional figure. The MOD is aware of 16 settled cases but the number of claims received may be slightly higher. 
 
 
 
 
 
 
 
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Section 2 Settled compensation claims notified  
In this Section, the term settled means claims that were fully determined. In total 3655 claims were 
settled on all costs in 14/15 either out of Court or by Court verdict. The financial year in which 
settlement is recorded is not necessarily the year in which the damages were paid. This category 
does not include any discontinuances, strikeouts via the Courts or repudiations by the Claims Unit 
or by delegated authorities. 
 
Table 2 Settled claims, by category (1 Apr 2014 – 31 Mar 2015)  
 
  
Number of claims
Total claims settled 
3 655
Public Liability 
1 400
Motor 
1 164
Personal injury 
 240
Property/ vehicle damage 
 914
Vehicle overseas                                                                 
 10
Other Public Liability  
 236
Personal injury 
 96
Low flying 
 69
NI Security Forces 
 16
Maritime 
 4
Other1  
 51
  
 
Employer’s Liability 
2 234
Service  
1 898
Noise-induced hearing loss 
1 652
Non-freezing cold injury 
 50
Other 
 196
Civilian2 
 336
Noise-induced hearing loss 
 85
Inhalation or Ingestion of Asbestos 
 124
Other 
 127
  
 
Clinical negligence 
 21
Other 
681
Area Claims Offices (ACOs) 
665
Defence Infrastructure Organisation (DIO) 
16
 
Source: Directorate of Judicial Engagement Policy Common Law Claims & Policy team 
 
1.  This category includes, for example, property damage claims which usually come from personnel working and living in 
service accommodation who have had their belonging damaged by poor maintenance of their accommodation or infrastructure 
2. All MOD civilian employees including members of the Ministry of Defence Guard Service (MGS) and Ministry of Defence 
Police (MDP) 
 
 
 
 
 
  
 
 
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Section 3 Cost of compensation claims notified 
This table includes damages and other costs, such as claimants’ legal costs and medical fees. It 
does not include MOD legal costs. Expenditure may include interim payments for active claims as 
well as final payments for settled claims. 
 
Table 3 In-year expenditure on claims, by category (1 Apr 2014 – 31 Mar 2015) 
  
£/million
Total in-year expenditure  
85.130
  
 
In-year expenditure by MOD Claims Unit and claims contractors 
83.714
Public Liability1 
7.982
Employer’s Liability 
67.055
              Service 
51.861
              Civilian 
15.195
Clinical negligence 
5.816
In-year structured settlement or periodic payments 
2.862
In-year expenditure by Delegated Authorities  
1.416
Area Claims Offices (ACOs) 
1.371
ACO Afghanistan 
0.023
ACO North West Europe 
0.857
ACO Cyprus 
0.489
ACO South Atlantic Islands 
0.002
Defence Infrastructure Organisation (DIO) 
0.045
Source: Directorate of Judicial Engagement Policy Common Law Claims & Policy team 
 
1. Public liability claims include motor third party claims in the UK at a cost of £4.5M  
 
 
 
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Further Information  
 
 
Revisions 
There are no regular planned revisions of this Bulletin. Any substantial changes which are 
discovered to be necessary will be made to the on-line version of the Bulletin. 
Corrections to the published statistics will be made if errors are found, or if figures change as a 
result of improvements to methodology or changes to definitions. When making corrections, we will 
follow the Ministry of Defence Statistics Revisions and Corrections Policy: 
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/284849/defence-
statistics-revisions-and-corrections-policy-v1.pdf.  
All corrected figures will be identified by the symbol “r”, and an explanation will be given of the 
reason for and size of the revision. Corrections which would have a significant impact on the utility 
of the statistics will be corrected as soon as possible, by reissuing the publication. Minor errors will 
also be corrected, but for convenience these corrections may be timed to coincide with the next 
annual release of the publication. 
 
Symbols 
p   Provisional figure 
 
 
Contact Us 
If you have any questions about the statistics contained in this publication you can contact us as 
follows:  
Claims Point of Contact –  Deputy Head of Common Law Claims and Policy, Tel: 0207 218 1538 
Directorate of Judicial Engagement Policy – Common Law Claims and Policy  
Ministry of Defence, Main Building  
Floor 1 Zone I  
Whitehall  
London 
SW1A 2HB 
 
E-mail: xxxxxxxxxxxxxxxxxx@xxx.xx  
 
Statistical Point of Contact – Head of Defence Statistics (Tri-Service), Tel: 0207 807 8896 
E-mail: xxxxxxxxxxxxxxxxxxxx@xxx.xx  
 
If you require information which is not available within this or other available publications, you may 
wish to submit a Request for Information under the Freedom of Information Act 2000 to the Ministry 
of Defence. For more information, see: 
https://www.gov.uk/make-a-freedom-of-information-request/the-freedom-of-information-act 
 
For general MOD enquiries, please call: 020 7218 9000  
 
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