Dáil Éireann Debate, Thursday - 4 May 2017
84. Deputy Michael McGrath asked the Minister for Finance the position regarding recommendation 5 and action point 8 in the Report on the Cost of Motor Insurance; if developments have occurred at an EU level in the first quarter of 2017; and if he will make a statement on the matter. [21365/17]
View answer85. Deputy Michael McGrath asked the Minister for Finance the position regarding recommendation 5 and action point 9 in the Report on the Cost of Motor Insurance; if it has been necessary to make representations with the EU Commission and Parliament; if so, the details of same; and if he will make a statement on the matter. [21366/17]
View answer86. Deputy Michael McGrath asked the Minister for Finance the position regarding recommendation 9 and action point 18 and 19 in the Report on the Cost of Motor Insurance; if the forum has been set up to discuss consumer and business issues; if that forum has met; the details of that meeting; the persons that have been appointed to this forum; and if he will make a statement on the matter. [21367/17]
View answer87. Deputy Michael McGrath asked the Minister for Finance the position regarding recommendation 7 and action point 14 in the Report on the Cost of Motor Insurance; if progress has been made by a company (details supplied) and his Department on the declined cases agreement; if information has been provided on the company's website; the details of such information; if he has satisfied himself with the details provided; and if he will make a statement on the matter. [21368/17]
View answer88. Deputy Michael McGrath asked the Minister for Finance the position regarding recommendation 10 and action point 20 in the Report on the Cost of Motor Insurance; if the advisory committee on small public service vehicles met with a company (details supplied); the details of that meeting; if actions have taken place as a result of that meeting; and if he will make a statement on the matter. [21369/17]
View answerI propose to take Questions Nos. 84 to 88, inclusive, together.
The recommendations in the Report on the Cost of Motor Insurance are being progressed in accordance with the Action Plan contained in the Report. The first quarterly progress update in respect of the implementation of the recommendations is now available on the Department of Finance website, under the Insurance Policy section.
This update shows the progress to date on the overall implementation of the Report, with a particular focus on action points which were due for completion in the first quarter of 2017.
The 5 parliamentary questions which have been composited all relate to Objective 1 of the Report – "Protecting the Consumer".
In respect of Recommendation 5 (Support efforts and raise awareness of the need to improve cross-border insurance provision at EU level) and Action Points 8 & 9 (Monitor EU developments and make representations as necessary with EU Commission and EU Parliamentarians), it should be noted that the Department of Finance is monitoring developments at EU level on an ongoing basis and has instructed the Permanent Representation in Brussels to hold consultations with relevant institutions on issues raised in the report. In this regard, I understand that engagements have taken place with the European Commission. Furthermore, representations have been made in the Financial Services Committee to reflect the concerns outlined in the report. There will be further engagements with other institutions going forward.
On the basis of these engagements, I understand that the European Commission is due to publish a review of its Green Paper on Retail Financial Services which will contain an action on the need to complete an evaluation of the Motor Insurance Directive later this year, in response to numerous complaints, particularly regarding no-claim bonuses on a cross-border level. Separately, the Commission has stated that it is reviewing supervision and enforcement in relation to insurance companies operating on a cross-border basis in Member States, on foot of a number of concerns following recent bankruptcies of such companies.
The Central Bank of Ireland has an ongoing engagement with the relevant European authorities in order to ensure common standards are applied consistently. In addition, the Central Bank fully participates in EIOPA (the EU overarching insurance regulatory body) to establish high quality common regulatory and supervisory standards and procedures. EIOPA is also due to report in 2019 on the barriers to providing cross-border insurance in general. The Department of Finance and the Central Bank will feed into the development of this report to ensure views expressed during the Working Group consultations are considered.
In respect of Recommendation 7 (The Declined Cases Agreement to be subject to ongoing review to ensure transparency) and Action Point 14 (Insurance Ireland to provide information on their website), Insurance Ireland has made the necessary alterations to its website in order to provide more prominent information in respect of the Declined Cases Agreement on its home page. I am satisfied that the link from the home page provides sufficient details on the Agreement and the procedure for making an application for consumers, including relevant contact details.
In respect of Recommendation 9 (Insurance Ireland to establish a Forum for Consumer and Business Issues) and Action Points 18 & 19 (Forum to be established by Insurance Ireland for consumer and business issues, and the Forum to meet twice yearly), I have been advised that Insurance Ireland set up the consumer and business forum in March and invited the relevant stakeholders, including representatives from the Department of Finance, the Department of Jobs, Enterprise and Innovation, the Central Bank of Ireland, the Financial Services Ombudsman, the Competition and Consumer Protection Commission, and the Consumers’ Association of Ireland, to the first of its biannual meetings due to take place on May 16th. The first meeting of the forum will concentrate on motor insurance with a view to broadening its scope at the second meeting.
In respect of Recommendation 10 (The Advisory Committee on Small Public Service Vehicles should enter regular discussions with Insurance Ireland to explore solutions for drivers in the sector) and Action Point 20 (Advisory Committee on Small Public Service Vehicles to meet with Insurance Ireland), I have been advised that the Minister for Transport, Tourism and Sport met the Advisory Committee on Small Public Service Vehicles, commonly known as the Taxi Advisory Committee (TAC), in March and this recommendation was discussed. The TAC is scheduled to meet with Insurance Ireland to explore solutions for drivers in the sector on May 22nd and will then report to the Minister for Transport, Tourism and Sport before the end of Q2 2017.
