Around 8,000 Irish drivers are to be refunded part of their auto insurance premium after a computation error by insurer 123.ie led to overcharging for the past two years.
The insurer has notified the Central Bank about the error last Autumn, and has now begun refunding its customers. According to the company’s estimates, it might take one more week until it’s done. The average refund amount is €80, with additional compensation of 5%.
123.ie handles 175,000 motor insurance policies, and was acquired by London-based RSA
A company spokesperson commented on the incident, saying, "123.ie can confirm that it is currently refunding customers to correct a charging error that affected some motor premiums. The error related to some of the vehicle history information, it was technical in nature and the company has taken steps to ensure it doesn’t recur."
Customers have been assured that the insurer’s “controls have been reviewed and changed to avoid this happening again”.