Dáil Éireann debate -
Wednesday, 20 Mar 1991

Vol. 406 No. 7

Written Answers. - Motor Insurance Premiums.

Bernard J. Durkan

Question:

140 Mr. Durkan asked the Minister for Industry and Commerce whether motor insurance premium increases are in line or are in excess of motor vehicle price increases over the past ten years; and if he will make a statement on the matter.

Minister for Industry and Commerce (Mr. O'Malley)

Data is not available to me which would enable the information the Deputy seeks to be provided.

However, as I have previously advised the House, the fundamental cause of high motor insurance premia in Ireland is the high claims rate which, regrettably, is on the increase, allied to the high cost of individual claims which is also rising. One cannot reasonably expect the price of motor insurance to reduce, or even stabilise when the claims rate and costs of claims are increasing.