Ogden cut causes $173mn reserves hit at LV

Mutual insurer LV swung into the red in 2016 as it increased its
reserves by £139.0mn ($172.9mn) to offset the impact of a
steeper-than-expected cut in the UK discount rate for personal
injury compensation.
The company said the 3.25 percentage point cut to the Ogden rate
pushed its general insurance division to a £26mn operating
loss in 2016, compared with a £72mn operating profit in 2015.
At group level, LV's pre-tax loss was £49mn, compared with
a £124mn profit in