The three different UK Ogden rates - Why existing limits of indemnity on EL/PL and Products can no longer remain the same

>> Event Overview

Brokers/Insurance company staff if you do not understand the long-term implications of the three different negative Ogden rates in the marketplace then you will be failing your clients – this presentation will help you understand why Parliament’s decision to create and stick with a negative Ogden rate has an impact on ALL major liability injury claims. Even the traditional EL limit of £10m is now looking too small let alone PL limits of £2m.

In 2017 the Ogden rate was changed from a discount to a load on all major personal injury claims causing major losses to insurers across the UK, but the MOJ said they would row back from this but to the shock and dismay of the UK insurance industry it was announced that the rate in England and Wales long term would be -0.25 which meant awards would be loaded not discounted. Even worse for the insurance industry the Scottish government have set their rate at -0.75 meaning Scotland has the potential to see the highest court awards in the whole of Europe! But even more alarming if you are an insurer, is that Northern Ireland have set their rate at -1.75% this is the highest differential rate in the whole world!

To give you an idea of how liability claims are affected by Ogden, a liability claim which related to a young person that settled in 2017 for £6,670,000 would now be settling at £16,110,000 in England and Wales and £33,120,000 in Northern Ireland – brokers and underwriters you cannot ignore this!

This presentation will explain in plain English what Ogden is, and by way of examples, demonstrate why brokers need to be advising their clients on taking out larger limits of indemnity going forward.

This presentation will be delivered by Alan Chandler, and he will outline why failure to talk through Ogden with you clients could lead to E&O exposures for brokers. Remember you advise on future protection not the past!

>> Learning Objectives

Delegates will be able to:

• Understand the history of the Ogden rate.
• Understand how the Ogden rate changes are causing significant premium increases.
• Understand why it is essential that brokers inform their clients that existing limits of indemnity may not be enough going forward, even on EL.

>> Speaker Biography

Alan Chandler is widely regarded as one of the most popular and respected insurance presenters in the world. He has taken thousands of people through to Acii qualification including many national prize winners, as well as delivering a vast array of technical presentations on Commercial and Personal lines insurances. Alan has raised the pass rates in Cii exams where he is involved from under 40% to 99% demonstrating why he is so well regarded.

Alan's webinars have been viewed across Europe, Asia, Africa, Australia, North America and South America and his audience numbers last year were well over 100,000. He has devised and delivered training programmes for the Cii as well as most of the major insurers and brokers including Allianz, Zurich, Lloyd's, Hiscox, Aviva, Admiral, Gallagher, Aon, Towergate, GRP, Aston Lark, James Hallam and Marsh, however, Alan is equally happy to be devising and delivering programmes for small independent brokers and MGA's. He has a real passion for equipping staff to pass Acii exams and learn new technical concepts and it is his plain English way of presenting that has made him so popular.