Consultation on discount rate launched
Insurance industry says the release of the paper is an important step forward in helping to get a fair, modern way to set the rate.
The government has opened a consultation on how the personal injury discount rate should be set in the future, according to an announcement by Justice Secretary Elizabeth Truss.
The launch of the six week consultation comes following outcry from the insurance industry after Truss cut the rate from 2.5% to minus 0.75% last month.
The discount rate, also known as the Ogden rate, is used to help calculate lump sum payments of damages in personal injury claims.
Following the rate change the ABI
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