At Insurance Business UK
we’ve been keeping track of the ongoing controversy surrounding rapidly rising car insurance premiums in Ireland – and now we can confirm that the issue is going to an official review.
Yesterday the Irish Parliament, the Dail, passed a motion brought forward by political group Fianna Fail which has made an official call for the Government to examine the ever increasing cost of car insurance in the country.
The motion, which was passed without requiring a vote, also saw members accept a Sinn Fein amendment calling for the Oireachtas Finance Committee to look into the issue.
According to a report by RTE Ireland, Fianna Fail wishes to establish a taskforce that will examine the increase in the cost of premiums while also setting up a national claims register that would record data across the sector. The move is a reaction to a 35.5 per cent leap in car insurance premiums during the last 12 months alone – this compares to a 9.9 per cent rise in home insurance and a 6.5 per cent rise in health insurance.
Speaking to the publication, Independents4Change TD Clare Daly commented that car insurance was beyond a rip-off and that insurance companies appeared to be operating in some kind of caretel based on profiteering. Meanwhile, there have also been calls for a state-run insurance company that is not driven by profits.
Minister for Finance Michael Noonan has now set up a review of policy in the insurance sector and work is expected to be concluded within three months.
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