General insurers face credit downgrade over personal injury claims

down-arrows

The warning comes as PPO settlements, where claimants receive an initial lump sum award together with regular payments to cover on-going medical care costs, are becoming an increasingly common way for the courts to settle high value personal injury claims.

"The uncertain and long-tailed nature of PPO liabilities exposes general insurers to the same longevity and inflation risks that annuity writers face and could ultimately result in suppressed earnings and higher capital requirements," said

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected].

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have an Insurance Age account, please register now.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: