asked the Minister for Finance if he will state what insurances were effected in the present year by the Office of Public Works with the Irish Employers' Mutual Insurance Association, Limited, and the amount of the premiums paid to that company on foot of such insurances; whether he is aware that the company is now in liquidation; and if he will state whether his Department has been called upon to make any additional payments in respect of the insurances effected with the company, and, if so, the amount of such calls; if he will state whether the company was liable to make to the Office of Public Works any money payments in respect of workmen's claims arising out of its insurance contracts, and, if so, what steps have been taken to secure payment of such moneys; further, whether he will indicate the steps that have been taken to ensure that persons having claims against the Office of Public Works, the liability for which was covered by its insurance contracts with the Irish Employers' Mutual Insurance Association, Limited, will be paid their claims in full.
Ceisteanna—Questions. Oral Answers. - Office of Public Works and Insurance.
A policy of insurance for the period 1st April, 1938, to 31st March, 1939, was made during the present year with the Irish Employers' Mutual Insurance Association, Limited, whereby the Commissioners of Public Works were indemnified against all claims and expenses, etc., arising under the Workmen's Compensation Act, 1934, the Employers' Liability Act, 1880, the Fatal Accidents Act, 1846, and at Common Law, from workmen directly employed by them on arterial drainage works, maintenance of marine works, fishery piers, and landing slips, airport construction works, and employment schemes. A sum of £7,393 11s. 10d. was paid to the association on the 4th April, 1938, as an advance of premium for the insurance, the premium being adjustable at the end of the year in relation to the actual wages paid.
I am aware that the company is now in liquidation as a result of which the policy of insurance ceased to have legal effect from the 10th June, 1938, the date of the commencement of the winding-up proceedings; and on the application of the official liquidator of the company appointed under order of the High Court made on the 4th July, 1938, the commissioners have paid to him a sum of £5 which, under a clause of the memorandum of association of the company, they were liable as a member thereof to contribute to the assets of the company in the event of its being wound up. If it transpires in the winding-up that the assets of the company are more than sufficient to discharge the liabilities the commissioners have the right to receive a prorate payment of portion of this sum from the official liquidator.
A new policy of insurance has been effected by the commissioners with another company. The commissioners have presented to the official liquidator a claim for sums due to them by the Irish Employers' Mutual Insurance Association, Limited, and for such losses as they have suffered or may suffer in consequence of the winding-up of the company. The commissioners will defray in full all legal claims against them in respect of workers who have been covered in the policy of insurance with the company, and they have included provision for recoupment therefor, so far as can be estimated, in the claim which has been submitted to the official liquidator of the company.
Would the Parliamentary Secretary state whether, before entering into this contract, he consulted any of the insurance experts attached to the Department of Industry and Commerce or any outside actuary.
That is a separate question.
Will he also state whether his attention was at any time directed to the remarks of a certain High Court judge regarding the financial position and administration of this company.
That is a separate question.