asked the Minister for Industry and Commerce if he is aware that some insurance companies are requesting birth certificates for additional drivers before insuring motor vehicles; and if there is any action he can take in the matter.
Ceisteanna—Questions. Oral Answers. - Motor Insurance.
31.
I am aware that some insurance companies are requesting birth certificates for additional drivers before insuring motor vehicles. I must accept the right of insurance companies to obtain full information, supported where necessary by documentary evidence, regarding the risks they cover.
Does the Minister not appreciate the fact that some insurance companies appear to be anxious to get out of the motor business entirely? Is he not aware that at the present time the incidence of uninsured driving is increasing because of the fact that insurance companies not alone are not satisfied with getting a premium but are looking for the earth as well?
I am not aware that some insurance companies do not seem to want to cover motor insurance.
They want to get out of it.
This is one of the major problems we have. The Deputy will recall I got into very serious trouble shortly after my appointment for sanctioning an increase of 17 per cent in motor insurance. The reason for the increase was that insurance companies were not going to cover risks in the motor business. They claim that covering motor vehicles risks is not profitable from their point of view. On the other hand, I am attacked for allowing premium charges to escalate. That is the reason why I have this insurance committee sitting.
Would the Minister not consider that the time has arrived when the State should take over motor insurance, because it is being made a racket by some of these companies who, having got in here under the guise of providing motor insurance and having found other profitable outlets, are now trying to dump motor insurance? The result is that the country is full of uninsured drivers.
I have a very intelligent committee set up to look into this matter and I think it would be wrong of me to form any opinion before I get the report.
How soon will the report be made?
In about six years.
Will it be made this year or next year?
This committee have been quite active since they were set up. I expect their report to be made in the spring.
Before the financial year finishes?
I hope they will make it before the end of the financial year. I do not want to commit the committee.
Before the general election?
Ages before the general election. Two years before the general election.
The Minister agrees that this is in the public interest. Motor insurance is not like ordinary insurance. It is compulsory for people driving motor vehicles to have motor insurance and because of this there is a need for nationalisation. Motor insurance is not profitable for insurance companies and they do not want to give it.
I accept the first part of the Deputy's statement but not the second.