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(From Post Magazine)
Byline: Jonathan Swift.
The news that liability insurers face the double whammy of increased claims costs from NHS clawback charges and the imposition of new multipliers from the revised Ogden Tables coming up in March (see page 1), suggests the industry may have an uphill battle on its hands.
The national media has been all over the issue that insurance costs are to rise as the NHS chases work-injury payments. Following on from this, worried policyholder organisations such as the Federation of Small Businesses have joined the argument, once again calling for fairer treatment and lower premiums for those companies that execute a well managed health and safety culture.
Both the NHS charges and the new Ogden Tables have, of course, been in the pipeline for some time. Last November, Post spoke with Federation of Insurance Lawyers' president Lea Brocklebank who warned that the revised Ogden Tables were likely to inflate future loss claims "slightly", due to changing mortality rates. Her words appear to be something of an understatement, if Barrister Simon Levene's statements this week ring true.
On the issue of NHS clawbacks, the insurance industry gained a reprieve in 2005, but its time has now run out and if broker Lockton's statement last year (Post, 28 Sept ...