Written Answers. - Insurance Costs Study.

Ned O'Keeffe

Question:

196 Mr. E. O'Keeffe asked the Minister for Enterprise and Employment the plans, if any, he has to commission a study of the insurance position in other relevant countries, such as New Zealand in particular, where the experience is pertinent and useful in an Irish context in view of the fact that the study commissioned in April 1995, on the economic evaluation of insurance costs in Ireland was restricted mainly to this State and the United Kingdom; and if he will make a statement on the matter. [8689/96]

The present study on insurance costs is intended to focus primarily on an economic evaluation of liability insurance costs in Ireland as they impact on the Irish economy and on the competitiveness of Irish industry. The consultants have also been requested to compare the liability cost position in Ireland with a number of EU countries, in addition to the UK. This comparison with the UK and certain EU member states is particularly relevant both in the context of the competitiveness of the Irish traded business sector and in the similarity of insurance systems in operation throughout the EU.

The insurance position in New Zealand and other countries which are not significant trading partners is not directly relevant for the purposes of the economic evaluation of insurance costs in Ireland which is the key focus of the present study.

I have no plans at present to commission a study of the insurance position in New Zealand.

While the terms of reference of the study do not make explicit reference to other non-EU countries, the draft report refers to other non-EU jurisdictions, where appropriate, in terms of systems of compensation and young driver schemes.