Ogden change makes Lloyd's concerns a reality

The UK government's unexpectedly large reduction in the
Ogden discount rate last week has brought into focus Lloyd's
concerns about reserving in the motor insurance market.
The motor market has struggled for profitability for several
years, and Lloyd's warned in its 2015 annual report that a
change to the discount rate used to determine large awards in
bodily injury claims could compound reserve issues already
threatened by high claims cost inflation and claims settled by
periodical payment orde