Dáil Éireann Debate, Tuesday - 22 February 2022
26. Deputy Richard Bruton asked the Minister for Finance the insights that have been gleaned from the new data reporting on insurance claims; and if he has identified scope for adding new actions to the insurance plan based on this information. [9459/22]
View answer31. Deputy Dara Calleary asked the Minister for Finance his views on more frequent reporting by the National Claims Information Database. [9678/22]
View answerI propose to take Questions Nos. 26 and 31 together.
The National Claims Information Database (NCID) was established in order to improve transparency in the insurance claims environment and to support data-driven policy making. It contains a wealth of information, including data on: the cost of premiums; the cost and frequency of claims; claims settlement; and the revenues, expenditures, and profitability of firms. Having initially focussed on the private motor insurance sector, under the Action Plan for Insurance Reform the scope of the NCID was expanded to facilitate the collection of data on employers’ liability and public liability insurance claims, with the first such report being published last July.
These NCID reports provide a valuable insight into the key insurance markets for consumers and businesses, which is vital to further developing our understanding of how claims costs impact premiums. This should enable us to better-tailor reforms to the insurance sector. For example, the recently-published General Scheme of a Bill to reform the Personal Injuries Assessment Board, which aims to increase the number of cases settled through the Board, points to NCID data which shows that claims settled by the Board are settled more quickly, and attract much lower legal costs, than those that proceed to litigation.
In addition, the NCID will allow for an assessment of the impact of the many reforms already undertaken in the insurance sector. For example, I understand from the Central Bank of Ireland that the Private Motor Report to be published in 2022 will provide initial data on the newly introduced Personal Injuries Guidelines. The NCID is also continually looking to improve the transparency and insight that can be provided through these reports, and each edition has been amended to include more information.
With regard to more frequent reporting, I understand that the Central Bank of Ireland is also looking at the merits and feasibility of collecting the information contained in certain sections of the Motor NCID Report more frequently, where this would provide additional insight. For this reason, the Bank initially plans to publish supplementary information on motor premiums on a semi-annual basis. The merits and feasibility of providing any further information on a more frequent basis will be assessed in the future. To conclude, I welcome the information already provided by the NCID, and believe it will remain an excellent tool to ensure transparency in the insurance market into the future.
