Dáil Éireann Debate, Tuesday - 2 May 2017
285. Deputy Seán Haughey asked the Minister for Finance his plans to introduce measures to assist older persons take out insurance policies to cover the cost of funeral expenses which are not too expensive; if this matter was considered by the cost of insurance working group; and if he will make a statement on the matter. [20502/17]
Amharc ar fhreagraAs Minister for Finance, I am responsible for the development of the legal framework governing financial regulation. Neither I nor the Central Bank of Ireland can interfere in the provision or pricing of insurance products, as these matters are of a commercial nature, and are determined by insurance companies based on an assessment of the risks they are willing to accept. This position is reinforced by the EU framework for insurance which expressly prohibits Member States from adopting rules which require insurance companies to obtain prior approval for the pricing or terms and conditions of insurance products.
As part of a general review of insurance policy in 2016 I established a Cost of Insurance Working Group, chaired by the Minister of State, Eoghan Murphy T.D. This Working Group is examining the factors contributing to the increasing cost of insurance and identifying what short, medium and long-term measures can be introduced to help reduce the cost of insurance for consumers and businesses.
The initial focus of the Working Group was the issue of rising motor insurance premiums and its deliberations in this regard culminated in the publication of the Report on the Cost of Motor Insurance in January. Work is ongoing on implementing the 33 recommendations contained in the Report.
In parallel with the above, the Working Group in its second phase is looking at the Employer Liability and Public Liability insurance sectors. This section of work is currently at the consultation stage and it is envisaged that the final results will take the form of an addendum to the existing Report.
There are no plans at this juncture for the Working Group to similarly examine the specific area of insurance for funeral expenses. Nevertheless, my Department will continue to monitor the overall insurance sector, including any significant increases in costs levels, as part of its ongoing policy work.
