Claims run-off patterns update

Document description

The run-off patterns shown in the accompanying tables all relate to claim payments for direct insurance (and facultative reinsurance) business, before allowing for reinsurance recoveries and accounted for on a one-year basis. Four sets of tables are shown for each type of business analysed; they differ only as a result of the methodology used in the analysis. The tables update those presented to the General Insurance Study Group (GISG) in October 1993, by including data from the 1992 returns in their calculation. In addition we have analysed data for Professional Indemnity claims. The methodology derives from the report of the working party on claims run-off patterns presented to GISG in October 1989, and is described in some detail later (paras 32-69).