LV takes £139m hit from Ogden cut

richard-rowney-lv-chief-executive-june-2016-landscape

The insurer saw a general insurance operating profit of £26m in 2016, a drop of 64% from the previous year’s figure of £72m. Its GI combined ratio rose from 96.1% to 105.8%. If the discount rate had remained the same the company would have seen a GI profit rise of 57% to £113m and a combined ratio of 94.1%. Richard Rowney, LV group CEO said: “The reduction in the Ogden discount rate has had a significant one-off impact on the goup’s financial results as we have increased our reserves by £13