Dáil Éireann Debate, Tuesday - 20 June 2017
215. Deputy Imelda Munster asked the Minister for Finance if his attention has been drawn to the fact that insurance companies are refusing to offer persons a quote on the basis they have not been driving long enough or consistently enough despite the person having had a full driving licence for ten years; and if he will make a statement on the matter. [26828/17]
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 of the pricing or terms and conditions of insurance products. Consequently, I am not in a position to direct insurance companies as to the pricing level that they should apply to particular categories of individuals.
I am advised that insurers use a combination of rating factors in making their individual decisions on whether to offer cover and what terms to apply. These factors may include the level and consistency of driving experience, and how recent such driving experience is. Other factors include the age and the type of car, as well as the age, claims record and penalty points of the driver, the number of drivers, how the car is used, etc. My understanding is that insurers do not all use the same combination of rating factors, and as a result the price and availability of cover varies across the market. In addition, insurance companies will price in accordance with their own past claims experience.
Finally the Deputy should note that Insurance Ireland operates a free Insurance Information Service for those who have queries, complaints or difficulties in relation to obtaining insurance. Insurance Ireland can be contacted at feedback@insuranceireland.eu or 01-6761914.
