Discount Rate

The Insurance Institute of Inverness, the Highlands and Islands is happy to announce that its next event will focus on the discount rate.

The recently announced change in the discount rate will cost the UK Insurance Industry a one off adjustment of £7 billion and £2 billion per annum thereafter. This amount will have to be recouped by way of massive hikes in insurance premiums. Increases of 10-20% will become the norm, especially after reinsurance treaties are renewed, and high risk personal injury policies such as construction, haulage fleets and motor trade will see increases of well beyond this range.

It is essential that brokers can fully explain these increases to their clients and this presentation will equip brokers to do just that. Remember, even claims free risks will see premium hikes.

Learning objectives

By attending this event delegates will be able to identify:

• The difference between special and general damages in liability claims
• How the Ogden table rates affect liability claims
• How the recent change in discount rate will affect premiums in the market place
• How the capital implications for insurers following the Ogden table change

The session will be run by Alan Chandler, Chartered Insurer who is one of the leading UK insurance trainers. He will explain the difference between special and general damages in liability claims and focus on how the change in the discount rate will completely transform the General Insurance market. He will also explain how certain elements of the liability claim get changed by the Ogden tables (known as the discount rate).