Discount rate
Motor premiums rise following Ogden rate decision
Motor premiums have risen by an average of 0.7% in the past three months, owing to changes to the Ogden discount rate.
Trade Voice: Gordon Dalyell, Apil
Following insurer outcry as the Ogden discount rate was set at minus 0.25%, Association of Personal Injury Lawyers president Gordon Dalyell underlines that the industry is set to save hundreds of millions, while claimants still face an "unfair" rate.
Interview: Huw Evans, ABI director general
The industry faces heavy scrutiny from regulators and the government over pricing practices and personal injury reform, all while reeling from the prospect of a looming Brexit. Huw Evans, Association of British Insurers director general, spoke to Jen…
This week: Think! tech drive
With 50 years of drink driving campaigns drunk driving is shunned by society, but with technology taking over our lives it might be time for a distracted driving campaign to make using hands-free mobile devices on the move as frowned upon.
QBE International posts loss following £51m Ogden hit
QBE has reported a one-off hit of $62m (£51m) as a result of the change in the Ogden rate in its first half results, without which it would have broken even.
Admiral sees £33m Ogden blow in first half
Admiral has reported a hit of £33m from Ogden in the first half of 2019, with a total estimated hit of between £50m and £60m.
This month in Post: Insurtechs, results and discount rate
London seems strangely quiet in the summer, most people are away on holiday, and out of office replies are basically a given.
Aviva UK profit dips as result of restructuring but excludes £45m Ogden hit
Aviva’s UK general insurance business delivered an operating profit of £172m for the first half of 2019, though the result excludes the £45m expense of strengthening reserves following last month’s discount rate decision.
Hastings share price dives after profit slashed to £38.2m following Ogden hit
Hastings share price fell over 8% within the first two hours of trading this morning after it reported a profit after tax of £38.2m (30 June 2018: £72.9m) for the first six months of 2019.
Ageas UK CEO slams government over discount rate review
Ageas UK CEO Andy Watson has criticised the government’s handling of the recent discount rate review, saying decisions made by some insurers to release reserves in anticipation of a higher rate were “a reasonable thing to do.”
Ageas sees payout for refusing to gamble on Ogden
Ageas UK saw a £27.6m bounce as a result of the discount rate change, offsetting large motor losses for the half.
LV eyes premium increases following £13m Ogden blow
LV has been hit with a £13m blow as a result of the Ogden rate, which the insurer said could push up premiums by 1%.
ABI mulls legal action against government over discount rate
Exclusive: The Association of British Insurers is considering legal action against the government, after the Ogden discount rate was set at -0.25%.
Analysis: Discount rate decision casts a shadow over personal injury settlements
The personal injury discount rate will be set at minus 0.25% from 5 August providing certainty for insurers and claimants alike, but uncertainty created by the Ministry of Justice review behind the new rate could have left claimants – as well as insurers…
Insurers warn of rise in motor premiums following the discount rate decision
Government changes to personal injury calculations are set to add to motor insurance costs going forward, insurers have warned.
This week: Gaukward moment for insurers following Ogden change
It was around Spring when office chat turned to the trend of insurers bolstering full year accounts through claims reserve releases.
Insurers attack 'misleading and wholly disingenuous' discount rate impact assessment
The impact assessment issued to parliament in relation to Lord Chancellor David Gauke’s decision to set the discount rate at minus 0.25% has been called “misleading and wholly disingenuous” by Huw Evans, director general of the Association of British…
Hastings reveals Ogden rate hit
Hastings shares fell this morning after saying the Ogden rate change to minus 0.25% would result in a one-off £8.4m blow.
Analysis: Industry faces financial blow from discount rate revision
Insurers that have been pricing and reserving using a discount rate of between 0 to 1% may face a short term financial hit, analysts have warned.
‘Bad outcome’ for industry as discount rate revised to -0.25%
The government has set a new discount rate of minus 0.25% - a much lower number than the expected 0%.
Discount rate: Are insurers being too optimistic?
In anticipation of the new discount rate announcement, expected by 5 August 2019, many insurers have already started to price and reserve at 0%
Claims costs drive an increase in van insurance premiums
Claims costs have driven an average premium increase of 35.1% since April 2014, Consumer Intelligence has found.
Trade Voice: Foil's James Heath on the Civil Liability Act
The Civil Liability Act was passed in December, changing the way whiplash claims are calculated. As part of the bill, the government also agreed to reform the discount rate, which is currently under review. James Heath, President at Forum of Insurance…
Blog: Aquiline's recommitment to ERS highlights turnaround success after dark days of IAG
Jonathan Swift reflects on the turnaround at ERS and why Aquiline might have decided to wait to sell the motor insuer