Services
Defendant Insurers
You have claims now being settled by way of periodical payments. What are the implications?
Mortality
It is an inevitable consequence of a periodical payment order that the defendant insurer assumes the mortality risk associated with making payments for the lifetime of the claimant. How may that risk be reduced or eliminated?
Investment
How should you invest to reduce or eliminate the investment risks that an index-linked periodical payment order represents?
Reserve
What is an appropriate reserve to establish for a periodical payment order?
Impaired Life
In relation to that part of the claim, periodical payment orders remove arguments about the life expectancy of the claimant. However, there are circumstances when life expectancy remains an issue. These include the capitalisation of future loss into a lump sum (including the Roberts v Johnstone accommodation calculation) and where a reinsurer wishes to commute its share of a claim.
Advice is provided on these and related matters.