New Edition of the Ogden Tables is Published

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30 July, 2020

The Government Actuary's Department published the 8th edition of the Ogden Tables on the 17 July 2020.

The Ogden Tables, used to calculate future losses in personal injury and fatal accident cases in the UK, have been updated and the explanatory notes have been completely rewritten in this 8th edition.

They have taken account of updated mortality rates, which perhaps surprisingly, have decreased (and therefore provide lower multipliers) since the last edition, which was published in 2011, almost a decade ago.

As the introduction sets out the main changes to the Tables and explanatory notes are as follows:

  • Section A has been fully updated. In particular, the section on life expectancy has been expanded, and there is new guidance and new examples regarding the interpolation of multipliers and calculating split multipliers for variable losses.
  • Section B, dealing with contingencies other than mortality, has been extensively revised and there is new guidance on when and how to depart from the suggested Table A to D reduction factors in appropriate cases.
  • There is a new Section C regarding the application of the Tables to pension loss claims together with two examples.
  • Following the Supreme Court's decision in Knauer v Ministry of Justice [2016] UKSC 9, Section D regarding the application of the Tables to Fatal Accident Act claims has been re-written and simplified, with a number of new examples.
  • A new Section E deals with the indexation of loss of earnings periodical payment orders (PPOs), the application of the suggested Table A to D reduction factors and how to update for different earnings-based measures of inflation.
  • Four new tables are provided for men and women for loss of earnings to a retirement age of 68 and pension losses from the same age.
  • Four new tables are provided for men and women for loss of earnings to a retirement age of 80 and pension losses from the same age.
  • There are new Additional Tables (online version only) at discount rates of -0.25%, -0.75% and 0% allowing for the calculation of multipliers from any age at trial to any future age (up to 125).


Practical Comment

What the publication of these new tables means is that in any case with a future loss element, current reserves and Part 36 and other offers need to be reviewed to make sure that they remain appropriate, and updates may well be needed to schedules of loss and counter schedules.

For more information contact Siobhan Hardy in our Insurance department via email or phone on 0113 386 2686. Alternatively send any question through to Forbes Solicitors via our online Contact Form.

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