asked the Minister for Industry, Trade, Commerce and Tourism if he is aware of the serious difficulties being encountered by employers and property holders in securing employers and public liability insurance from the insurance companies operating in this country, if he will take steps to alleviate this situation and if he will make a statement on the entire insurance situation at present.
Ceisteanna—Questions. Oral Answers. - Employer and Public Liability Insurance.
11.
My Department have received and investigated a number of complaints concerning difficulty in obtaining liability insurance cover. Some difficulties have related to previous adverse claims experience but satisfactory results have been obtained in the majority of cases.
I would expect the insurance industry to provide a comprehensive service to the community and with this in view my Department have, at my direction, put to the insurers' representative bodies the need to establish procedures for the satisfactory handling of any cases of difficulty in obtaining cover.
My Department will continue to investigate any cases reported to them and if the Deputy has any details of such cases I would be pleased to look into the matter.
Could the Minister explain to the House what he means by satisfactory results having been obtained although some difficulties had occurred? Could he explain what he means by satisfactory results?
If we take 1984, in this year about 60 cases of difficulties in obtaining liability business have been reported to my Department. Most of the cases were examined and most were resolved, but there are some which were not and that is not to my satisfaction.
Is the Minister aware that business people who have had this insurance for many years with supposedly reputable firms were refused cover for the forthcoming year? Is he further aware that some of those companies had to let staff go because they could not get cover for them? Is he also aware that some companies have been forced out of business as a result of failing to get such cover? Could he indicate to the House if he has any proposals to bring about legislation to ensure at least that where persons and companies have a track record in obtaining insurance, they cannot be refused cover with that same company in the future?
I have sympathy with what the Deputy says. I have stressed to the Irish insurance industry that they have a responsibility to provide cover on a comprehensive basis.
Deputy Lyons wishes to raise a matter.
In view of the fact that the Private Notice Question of Cork Deputies including myself, Deputy Wyse, Deputy E. O'Keeffe, Deputy Wallace and Deputy M. Ahern was adjudged out of order, I wish to raise the matter on the Adjournment.
The Chair will communicate with Deputy Lyons.
Could I have an answer to my question?
In order to facilitate another Deputy I intervened to beat the clock. There is nothing more mysterious about it than that. The Minister will resume now where he left off.
I am not happy with the insurance industry's efforts in this liability area and I have made my views known to them. Indeed, I am concerned when the second non-life directive of the EC would come into operation, which may not be for a few years, that unless the Irish insurance industry is competitive and prepared to take risks, especially in the liability area, they will be losing out business substantially to foreign companies. I am not happy about the area. I will take up any companies which the Deputy wishes to bring to my attention, but I have impressed on the insurance industry their responsibility in this area.
The remaining questions will appear on next Wednesday's Order Paper.