asked the Minister for Industry and Commerce the percentage and date of each insurance premium increase for private cars since the 1st January, 1969; and whether the recent motor insurance increases are related to the basic rates which applied in 1969 for commercial and private motor vehicles.
Ceisteanna—Questions. Oral Answers. - Motor Insurance.
60.
An increase of 17½ per cent in basic insurance premium rates for private cars was sanctioned with effect from 1st June, 1970. An increase of 10 per cent was later approved with effect from 1st November, 1973. The recent 1974 increases were allowed in two phases. Most insurers applied the first phase of 10 per cent from 1st August, 1974. The second phase of 20 per cent, plus the compensatory increase of 10 per cent designed to compensate for reductions in loadings, has been applied at various dates since 1st November, 1974, depending on the date of implementation of approved loading reduction schemes.
The recent (1974) increases are related to the rates obtaining before August, 1974, that is, to the 1969 basic rate levels for commercial and private motor vehicles adjusted by the increases in the intervening period.
Is the Minister aware that a number of insurance companies are operating closed doors as far as motor insurance is concerned?
That is a separate question.
Would the Minister make it compulsory on insurance companies to depreciate the value of the car every year under a comprehensive policy because the value depreciates every year but, unless the insurer asks for depreciation, the insurance company will not depreciate the value? Would it be possible to compel insurance companies to do that automatically?
I cannot promise the Deputy that I will do so because I am in an area here of great expertise, an expertise I do not claim, but I shall certainly be happy to have the Deputy's suggestion examined to find out whether or not it is feasible.
Has the case I sent the Minister in writing been brought to his attention? It is a case where the family have been using the same drivers for six years in their family cars and there is now an increased loading of £168 on a premium of £80.
The Deputy is giving information now and it is a separate matter.
The insurance companies have not opened the door at all. It is only the PMPA that have opened the door.
Is the Minister satisfied that the recent arrangement is a satisfactory one? Is he aware of the great dissatisfaction throughout the country regarding motor insurance?
The situation is very unsatisfactory.
This is enlarging on the question asked.
I am in the hands of the Leas-Cheann Comhairle.
I am calling Question No. 61.