The cost of motor and motorcycle insurance is substantially determined by the cost of claims. Unless and until claims costs in Ireland reduce to the levels in other member states of the EC it is unrealistic to expect that the cost of motor insurance in this country will match that obtaining in other member states. I am not at all certain, therefore, that the establishment of a national motor and motorcycle insurance scheme as referred to by the Deputy would necessarily result in bringing insurance costs in Ireland into line with other EC countries.
The Government is aware that many Irish drivers regard the premiums they are charged for motor, or motorcycle, insurance as high and is committed to doing what it can in relation to improving the cost environment for such insurance. Thus, the Inter-Ministerial Group on Motor Insurance is being re-activated to provide a focus for the identification and consideration of further measures, including initiatives by the Government itself, having the objective of reducing insurance costs. The Deputy will be aware that the costs of insurance are influenced by a number of areas of Government concern such as the responsibilities of the Minister for the Environment in relation to road traffic legislation and the Minister for Justice concerning the operation of the courts.
I must add that the statutory Ministerial function of the insurance supervisory authority is to ensure that authorised insurers meet their statutory solvency and reserve requirements.