Dáil Éireann debate -
Tuesday, 25 May 1993

Vol. 431 No. 3

Written Answers. - Employers' Liability Insurance.

Ivan Yates

Question:

123 Mr. Yates asked the Minister for Enterprise and Employment if his attention has been drawn to the crisis situation in relation to employers' liability insurance; the steps, if any he is taking to ensure that all companies operating in manufacturing industry in this country, who require such insurance, will at least have quotations made available to them; and the action, if any, the Government is taking to reduce the cost of employer's liability insurance.

Minister for Enterprise and Employment (Mr. Quinn)

I can confirm that the Government is aware of the problems which face employers, including those operating in manufacturing industry, in terms of the price and availability of employers liability insurance. The Government is committed to doing what it can to improve matters. In particular, I am concerned about the level of personal injury compensation in Ireland, the cost of which compensation has a significant impact on the cost of insurance for business and private citizens.

The Deputy may be aware that the Liability Standing Committee of the Irish Insurance Federation examines cases where there is difficulty in obtaining employers liability cover on the strict understanding that it cannot guarantee that cover will be provided.

Before any case can be submitted to the Federation for consideration it is necessary that at least half the market (approximately 12 companies including Lloyds) be approached without success. Evidence of these approaches (e.g. a letter from a broker) together with a brief synopsis of the risk should be forwarded to the Irish Insurance Federation, Russell House, St. Stephen's Green, Dublin 2. I must emphasise that, while this arrangement is reasonably successful, no guarantee can be given that cover will be forthcoming in each individual case.