The Ogden discount rate will be increased from -0.75% to -0.25%, reducing the amount insurers will have to pay to accident claimants.
The new rate will be effective from 5 August 2019, and will be reviewed within a five-year period.
A statement from Lord Chancellor and Justice Secretary David Gauke MP announcing the change was published this morning (15 July).
The Lord Chancellor wrote: “Having completed the process of a Call for Evidence and statutory consultation with the Government Actuary
The Insurance Age team unpick the most recent and most popular stories.Subscribe to our daily newsletter for all the latest news
- Brightside hires new MD of broking as Russell Bence exits
- Ardonagh losses rise to £44.5m in H1 2019
- FSCS set to compensate Alpha Insurance latent defect insurance policyholders
- Gauntlet expands into Wales with two new ARs
- THB pledges support for Fleet UK
- Call Connection's administration extension confirmed
- Bravo Group spent £53m on deals in 2018