NIHL, page-5

I found this recent article on NIHL reform. It gives me insight to the claims process facing S&G.
The statement made by insurers go hand in hand regarding delays made by S&G. The insurers want fixed fees, S&G have the process chain to accommodate reform at a faster rate than their competitors.
I still believe up to $250M of WIP will be available to settle over the next 1-20 months.

NIHL REFORM

The NIHL claims and litigation market is highly dysfunctional and is currently being considered by the Civil Justice Council. Insurers anticipate pre-action protocols and mandated use of audiometry in place of the instruction and provision of ENT reports. This will pave the way to significantly increased systemisation/commoditisation of the handling of NIHL claims with consequent cost savings.

Timing is all. If the CJC report is released quickly it is possible that Civil Justice Reform could be achieved before the legislative timetable becomes crowded with Brexit related activity. If not, then the threat (to Claimants) of Civil Justice Reform recedes and insurers then become vulnerable of a repetition/resurgence of the abusive behaviours we have seen previously in this area.

Statements below made by S&G were published in the financial report Fy16

"NIHL resolutions continue to be lower than anticipated. Management has made significant progress with internal process improvements and greater engagement with key counterparties"

and...

"SGS is also currently progressing a portfolio of noise induced hearing loss (“NIHL”) claims, however substantial losses were made in FY16 from this portfolio of cases. As cases mature and protocols for resolution of claims are developed with insurers, revenue earned from settlement of cases will displace the cost of claims management over time"

I don't believe the NIHL portfolio acquired will be subject to fixed fees. Rather the large scale of potential claims will be at a discounted rate due to the process systems, scale and a negotiated settlement due to a favourable outcome for insurers and S&G.