Vol. 528 No. 3
47 Mr. Aylward asked the Tánaiste and Minister for Enterprise, Trade and Employment if her attention has been drawn to recent reports of the very high percentage of young persons driving cars without insurance; and if she will take immediate and appropriate action to eliminate such irresponsible behaviour so that the high insurance costs currently imposed on young, legitimately insured drivers can be significantly reduced. [30128/00]
I am not aware of any indicators of a very high percentage of young persons driving cars without insurance. The National Roads Authority carries out surveys on parked vehicles on behalf of the Motor Insurers Bureau of Ireland, which compensates victims of untraced accidents or accidents caused by uninsured drivers. The surveys since 1987 have shown a consistent fall in the percentage of cars detected without insurance. The NRA feel this is due to the now compulsory requirement to display insurance discs and the greater enforcement by the Garda. As the surveys are carried out on static vehicles they do not give any indication as to the age of the drivers.
Nevertheless, the number of notified claims to the MIBI increased by 57% in the five year period to 2000 and payments in that period increased from £18 million to £33 million, an increase of 82%. The increase in costs is not directly attributable to an increase in the level of compensation but rather to an increase in the cost of delivering personal injury compensation.
It is also worth stating that the figure of increased claim notifications to the MIBI contained an increase of 98% in the number of claims relating to untraced accidents, or so-called ‘hit and run' accidents. These accidents do not necessarily involve drivers without insurance cover.
The high delivery costs of personal injury compensation was identified in a Deloitte & Touche report as the main contributory factor to high insurance costs in this country. Following on from that report a special working group was established to advise on the establishment of a personal injuries tribunal and to examine issues surrounding alternative systems of personal injury compensation in operation in other jurisdictions.
On the basis of the group's report it is hoped to bring proposals to Government as quickly as possible with the objective of putting arrangements in place to reduce the costs of delivering personal injury compensation by streamlining the claims process. It is also intended to publish the group's report at that stage.
