Guernsey Personal Injury Discount Rate ConsultationMay 18th, 2022
Guernsey have recently conducted a consultation in respect of the appropriate personal injury discount rate and periodical payments. Richard Cropper and Professor Victoria Wass have provided the following submission.
We thought that illustrating the enforced 'risk-sharing' (as a result of abandoning the 'risk-free' rate of return as the basis of the discount rate, in favour of the return on risk assets) as a percentage movement away from the 100% principle was a striking way to show the pressure that has been pushed onto claimants. Currently, claimants in England and Wales are receiving 62% compensation.