John Perry
Question:145 Mr. Perry asked the Tánaiste and Minister for Enterprise, Trade and Employment the steps the Government has taken to stop the escalating cost of insurance; and if she will make a statement on the matter. [19962/02]
Written Answers. - Insurance Industry.
While EU law precludes member states from intervening directly in relation to the actual pricing of insurance, Governments are free to take appropriate action leading to cost reduction by the industry.
In that connection, and in collaboration with the other Ministers concerned, I intend to spearhead implementation of the wide range of measures contained in the approved programme for Government, which are aimed at improving the functioning of the insurance market and of the system itself. I have made it clear that a quid pro quo will be expected from the industry in return.
In parallel with overseeing implementation of this reform programme, I am supporting an examination of the competitiveness of the insurance sector. My Department, in conjunction with the Competition Authority, will be carrying out a study concerning the non-life insurance market, with particular reference to motor insurance, employer's liability and public liability insurance. The preliminary consultation document, containing the draft terms of reference for the study has been published and is available electronically at either www.entemp.ie or www.tca.ie.