Solicitors and brokers are still confused as to whether they will need to be regulated by claims management regulation when it comes into force next April.
The Claims Standards Council (CSC) is understood to have been fielding calls from solicitors who are concerned that the regulation applies to them.
"I don't think people know if it affects them, they are unsure whether they are exempt," said one senior CSC insider. "The CSC can't answer these questions unless it has intimate knowledge of what those firms do, neither can the FSA or the Law Society."
Andrew Wigmore, policy adviser to the CSC, said: "There has been extensive consultation on these rules. Those who are still struggling should contact the regulator directly."
Andrew Twambley, chief executive of the CSC, welcomed the publication of the regulatory requirements by the Department of Constitutional Affairs this week. "I am very happy with the rules, they are intended to weed out the bad guys and hopefully that is what they will do," he said.
The Law Society is now expected to tighten up its rules on how solicitors use cash inducements to tempt claimants into the personal injury system.
Under the CMC regulations claims companies will be banned from offering cash inducements.
Twambley said: "There appears to be an imbalance away from the CMCs. I notice that there is a difference in the rules which apply to solicitors and CMCs and it is something we want to address."
