ABI Comments on Discount Rate Court Ruling

LONDON, Jan. 20 -- The Association of British Insurers issued the following statement by Director of General Insurance Policy James Dalton on the discount rate court ruling:

"We are disappointed with today's ruling and will appeal. It is vital that claimants get the compensation they are entitled to. Insurers are open to a proper dialogue on how to reform the system, but caving in to legal threats from personal injury lawyers is not the way for the Ministry of Justice to do it.

"Despite consulting over three years ago and not letting anyone know the outcome of that process, the Lord Chancellor seems to want to rush out a new discount rate at a time of significant global financial uncertainty.

"While we welcome today's commitment not to make an announcement before the 31st of January, we call on the Lord Chancellor to provide a considered timeline which gives all stakeholders the opportunity to engage in a constructive dialogue on the way forward."

Notes for Editors

1. The Association of British Insurers is the leading trade association for insurers and providers of long term savings. Our 250 members include most household names and specialist providers who contribute Pounds12bn in taxes and manage investments of Pounds1.6 trillion.

2. An ISDN line is available for broadcast

3. More news and information from the ABI is available on our web site, www.abi.org.uk.

4. More background is available here "ABI launches legal challenge to Lord Chancellor's decision to review discount rate for personal injury damages"

[Category: Insurance]

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