asked the Minister for Industry and Commerce if he is aware of the grave anxiety caused to Irish insurance policy holders as a result of reports of some insurance companies running into financial difficulties; and if he will make a statement on the matter.
Ceisteanna—Questions. Oral Answer. - Insurance Policy Holders.
28.
The reports to which I assume the Deputy is referring do not relate to companies licensed to transact insurance business in this country and they do not, therefore, provide any grounds for concern on the part of Irish policy holders.
I am sure that many people in England thought as the Minister evidently thinks now that everything was all right in the insurance business over there. May I put it to the Minister that it may well happen in this country that a similar situation may arise here in the near future in which certain insurance offices may find themselves in difficulties also? Would that not be a matter of which the Minister should take note and which he should have examined particularly in regard to the manner in which these companies are transacting business in this country?
Under the Insurance Act of 1936 the Department of Industry and Commerce have to be supplied with detailed figures by all companies transacting business here. The company to which the question apparently refers is one which had no licence to transact business here. The question of any difficulties for policy holders in this country does not arise.
I am asking permission to put a supplementary question. Has the Minister not noted through the public press and otherwise that the insurance office which we both seem to have in mind which went out of business in England carried certain risks inside the Republic?
The company concerned which became insolvent in Britain had no licence here under the 1936 Act. If it carried on business here that would be an illegal action on the part of the company. It would also be illegal on the part of the policy holder. The Department have no reason to believe that any such business was transacted.