The data protection watchdog has confirmed that it has launched an investigation into Jack Straw’s claims that motor insurers who sell clients' details to personal injury lawyers are breaking the law.

An Information Commission spokesman told insurancetimes.co.uk that it was examining the ex-home secretary's claims, which he outlined in a letter to the organisation a fortnight ago.

She said: “We are looking at whether the insurance companies are passing on personal information, whether they are passing on that information legitimately or they are doing without customers’ consent.”

She said that the commission would be looking at whether the insurance firms were meeting their obligations under principle one of the data protection legislation, which requires companies to process information fairly.

But she said that Straw’s letter had not named the insurance companies which had allegedly passed on customers’ details without their consent.

She also said that the commission was investigating unsolicited text messaging by claims companies, on which topic she said the organisation was receiving around 100 complaints per month.

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