Is a £48 Million Price Tag Too Much for Assessing Covid Vaccine Harm?

Nearly £50 million of taxpayers' money has been allocated by the NHS to Crawford & Company Adjusters for assessing claims of medical harm related to vaccines, significantly exceeding initial estimates. The current expenditure is eight times higher than the originally projected £6 million for this five-year contract, which is set to continue until a new provider takes over. The Vaccine Damage Payment Scheme (VDPS) has received over 22,000 claims related to Covid vaccines, mostly for the AstraZeneca jab, but only about 1% have resulted in compensation payouts.

Last updated: 26 October 2023 (BST)

What’s happening now

The NHS has faced scrutiny over its spending on vaccine damage assessments, with nearly £50 million paid to Crawford & Company Adjusters since the contract began. This significant expenditure has prompted questions about procurement strategies, especially given that the volume of claims has far exceeded expectations. As the NHS prepares for a transition to Maximus UK Services Limited, the financial implications of this contract and the handling of vaccine-related claims remain critical topics of discussion. The upcoming report from the Covid inquiry, due on 16 April 2024, is expected to address these issues comprehensively.

Key takeaways

The NHS has paid nearly £50 million to Crawford for assessing vaccine-related claims.
Initial estimates for the contract were £6 million, significantly underestimating the volume of claims.
Over 22,000 claims have been made, predominantly for the AstraZeneca vaccine, with less than 1% resulting in compensation.

Timeline: how we got here

The journey towards the current situation involves several key milestones:

March 2022: Crawford begins medical assessments for the Vaccine Damage Payment Scheme (VDPS).
May 2023: The estimated value of Crawford's contract is revised to £6 million.
September 2023: The NHS starts looking for a new provider amid rising costs.
5 January 2024: The NHS announces a new contract with Maximus UK Services Limited.
16 April 2024: A report from the Covid inquiry is expected to address the workings of the VDPS.

What’s new vs what’s known

New today/this week

Recent reports have revealed that the total payments to Crawford have reached nearly £50 million, which is far beyond the original projections and highlights the unexpected volume of claims related to Covid vaccinations. The transition to a new provider, Maximus UK Services Limited, is imminent, with financial implications still being assessed.

What was already established

It has been known that the VDPS offers compensation for individuals who suffer severe disability as a result of vaccination. The scheme has historically seen a low rate of successful claims, with Covid-19 vaccine claims surpassing those of all previous vaccines combined over four decades.

Impact for the UK

Consumers and households

The financial implications of the increased claims and compensation processes affect taxpayers directly. The substantial sums paid to Crawford may lead to heightened scrutiny of public spending and the management of health resources. Those affected by vaccine injuries are left navigating a convoluted claims process that has yielded limited compensation.

Businesses and jobs

The outsourcing of medical assessments to Crawford and now to Maximus UK Services Limited raises questions about the efficiency and effectiveness of private sector involvement in public health. This shift may impact job stability within the NHS as roles transition to external contractors.

Policy and regulation

The current situation is prompting discussions around the need for reforms to the VDPS. Health Secretary Wes Streeting is reviewing the scheme, which may lead to regulatory changes aimed at improving how vaccine-related claims are handled in the future. The upcoming Covid inquiry may also influence policy decisions moving forward.

Numbers that matter

£50 million: Total payments made to Crawford for vaccine claim assessments.
22,000: Number of claims related to Covid vaccines submitted under the VDPS.
1%: Percentage of claims that have resulted in compensation payouts.
£120,000: Tax-free payment offered by the VDPS for proven severe disabilities caused by vaccinations.
249: Number of successful claims for Covid vaccine injury payouts as of November 2022.
£29.8 million: Total amount awarded for Covid vaccine injury claims.

Definitions and jargon buster

VDPS: Vaccine Damage Payment Scheme - a UK government scheme providing compensation for individuals who suffer severe disabilities due to vaccination.
Crawford & Company: An international firm engaged in insurance claims management, which has been contracted for assessing vaccine damage claims.
Maximus UK Services Limited: The new provider taking over the medical assessment work from Crawford.

How to think about the next steps

Near term (0–4 weeks)

As the transition to Maximus UK Services Limited approaches, stakeholders should monitor the timeline for when the new assessments will begin and how this may affect ongoing claims. Watch for communications from the NHS regarding any changes to the claims process.

Medium term (1–6 months)

With the upcoming report from the Covid inquiry set to be published in April 2024, expect potential recommendations for reform in the VDPS. Stakeholders should prepare for possible changes in policy that may affect claims processing and compensation structures.

Signals to watch

Updates from the NHS regarding the transition to Maximus UK Services Limited.
Details from the Covid inquiry report and subsequent government actions.
Changes in the volume of claims and compensation payouts as the new provider takes over.

Practical guidance

Do

Stay informed about changes in the claims process as new providers take over responsibilities.
Keep records of any correspondence related to your claims for reference.
Seek professional advice if you are considering submitting a claim under the VDPS.

Don’t

Don’t delay submitting a claim if you believe you have been harmed by a vaccine.
Don’t assume that a high volume of claims means a higher chance of compensation.

Checklist

Verify your eligibility for the Vaccine Damage Payment Scheme.
Document your medical history related to vaccination.
Consult with a legal or medical professional about your claim.
Keep updated on NHS announcements regarding the VDPS.
Review the Covid inquiry report once published for insights into potential reforms.

Risks, caveats, and uncertainties

As the situation evolves, uncertainties remain regarding the true number of claims that will arise and the effectiveness of the new provider, Maximus UK Services Limited. The complexities involved in the contract with Crawford have raised concerns about procurement strategies and the potential for overspending in public health contracts. Additionally, the outcomes of the Covid inquiry may lead to significant changes in the VDPS, which could alter future claims processes.

Bottom line

The handling of vaccine-related claims in the UK highlights significant challenges in public health contracting and compensation for those harmed by vaccinations. As the NHS transitions to a new provider and awaits the findings from the Covid inquiry, stakeholders must remain vigilant about the implications for claims processing and potential reforms to the Vaccine Damage Payment Scheme.

FAQs

What is the Vaccine Damage Payment Scheme (VDPS)?

The VDPS is a UK government initiative that provides compensation for individuals who suffer severe disabilities as a result of vaccination, with proven cases receiving a one-off payment of £120,000.

How many claims have been made for Covid vaccine injuries?

Over 22,000 claims related to Covid vaccines have been made under the VDPS, primarily concerning the AstraZeneca jab, with a very small percentage resulting in compensation.

What changes are expected with the new provider, Maximus UK Services Limited?

The NHS is transitioning to Maximus UK Services Limited for medical assessments related to vaccine claims, with this new contract expected to be more flexible based on the volume of claims received.