asked the Minister for Industry and Commerce why insurance companies transacting motor insurance business in this country have been allowed to increase premiums by more than the amount allowed by him last year.
Ceisteanna—Questions. Oral Answers. - Motor Insurance.
44.
I have no evidence that motor insurance companies have been increasing the basic motor insurance premium rates by more than the 17½ per cent allowed by me. I am aware, however, that loadings are being applied to premiums for certain categories of risk, which are attributed to adverse claims experience in these categories. I must accept the right of insurance companies to apply fair and reasonable loadings where they are justified by underwriting experience.
The loadings applied by some companies, however, appear to be exorbitant and out of line with those of other insurers. I have asked the companies concerned to justify their action in this connection and I am awaiting their replies. In addition, I have had a very large number of cases taken up individually with the insurers concerned.
As the Deputy is no doubt aware, motor insurance is under urgent investigation by the Insurance Industry Committee.