2026-10-16 · Source: Business Insurance
Summary in 3 Points • U.K. government is considering reforms to third-party litigation funding that may increase liability claims costs. • Regulatory changes could expand claimant group sizes and affect more sectors. • Proposals to update product liability laws for artificial intelligence risks are also under consideration. --- The U.K. government is contemplating reforms to third-party litigation funding, which could lead to increased liability claims costs, as reported by Swiss Re Institute. Changes to opt-out collective actions may result in larger claimant groups, potentially impacting a wider range of sectors. Additionally, there are proposals to revise product liability laws specifically addressing risks associated with artificial intelligence, which could further complicate the claims landscape. The potential rise in liability claims costs due to regulatory reforms could impact claims management processes and risk assessments in the London Market.
The potential rise in liability claims costs due to regulatory reforms could impact claims management processes and risk assessments in the London Market.