John Perry
Question:194 Mr. Perry asked the Tánaiste and Minister for Enterprise, Trade and Employment the insurance situation of a person (details supplied); and if she will make a statement on the matter. [3191/03]
Written Answers. - Insurance Costs.
I am very much aware of the high cost of insurance in the State and I am concerned about the difficulties this is causing for many people including young drivers.
On 25 October last, I announced my programme for fundamental insurance reform. The programme reflects the commitments given in An Agreed Programme for Government and comprises a comprehensive set of inter-related measures designed to improve the functioning of the Irish insurance market. The key measures include: establishment of a ministerial committee, chaired by myself, to oversee implementation of the reform programme, including the 67 recommendations in the Motor Insurance Advisory Board, MIAB report; publication of the action plan to give effect to the MIAB recommendations within a target timeframe; establishment of the personal injuries assessment board, PIAB, on an interim basis, pending preparation of the necessary legislation to put the PIAB on a statutory footing; and publication of the report of the Implementation group on the PIAB.
The pricing and underwriting of insurance is a matter for individual insurance companies and EU law prevents me from intervening directly in the matter. However, I have made it clear that I consider there to be an onus on the insurance industry to ensure that the reforms to be taken will have the effect of significantly reducing the cost of premia to consumers.
Several of the recommendations in the report from the motor insurance advisory board, MIAB, relate to equal status, whether in the general context of compliance with the Equal Status Act 2000, or in a more specifically targeted sense, in terms of, for instance, the prohibition on discriminatory action in relation to age. As a core function of the Equality Authority is the elimination of prohibited discrimination in the areas covered by the Equal Status Act 2000, the MIAB report was referred to the authority for appropriate action.
My Department, in conjunction with the Competition Authority, finalised terms of reference last December for a study being undertaken into the competitiveness of the Irish insurance market. The terms of reference are available at www.entemp.ie and www.tca.ie.