QBE pegs Ogden rate cut cost at $160mn

Insurer QBE said the UK government's decision to cut the
discount rate deducted from personal injury compensation awards
will trigger a one-off increase in outstanding claims liabilities
of $160mn.
The carrier made the announcement after the Justice Ministry
said on Monday it would cut the Ogden rate to minus 0.75 percent
from 2.5 percent as from March 20. The move is seen likely to cost
insurers and reinsurers up to £7bn ($8.7bn) in reserves and
force motor premiums up.
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