The Forum of Insurance Lawyers (Foil) has rejected calls from lawyers for contingency fees to be introduced in the UK.
The Foil conference heard that the Law Society and Bar Council had asked the government to consider introducing contingency fees.
A contingency fee system, widely used in the US, means lawyers' fees are paid as a percentage of the damages awarded to the client. This can increase the amounts awarded to claimants.
Law Society president David McIntosh told the conference that the "current costs mess" inhibited access to justice.
He called on Foil and the Association of Personal Injury Lawyers (APIL) to reach an agreement on costs.
However, the conference was told that fixed or scale fees would make the legal system more efficient.
Lawyers in Scotland and Northern Ireland, where fixed or scale fees are used, found that a fixed fee regime rewarded those who dealt with cases promptly.
Insurers' representatives at the conference said the introduction of contingency fees would lead to an immediate hike in damages.
The conference agreed fast-tracking fixed fees would bring certainty to the market and restrain costs, while contingency fees would not work with the current level of damages paid.
New Foil president Tim Wallis was introduced at the conference. Wallis, a senior partner at Crutes, took over from Andrew Parker of Beachcrofts Wansbroughs.
He said his theme for the year would be to "ensure Foil continues to play its part in resolving the problems with the funding regime".
