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State Indemnity

Dáil Éireann Debate, Tuesday - 24 July 2018

Tuesday, 24 July 2018

Ceisteanna (1670)

Michael McGrath

Ceist:

1670. Deputy Michael McGrath asked the Minister for Health the cost of insurance under headings (details supplied) for his Department and each body under its aegis; the cost of the premium for 2018 or the premium paid in 2018 if the policy year straddles two calendar years; the comparable premium amount paid in 2017; the number of outstanding insurance claims against his Department or bodies under its aegis; the estimated cost of those claims; and if he will make a statement on the matter. [34001/18]

Amharc ar fhreagra

Freagraí scríofa

In response to the Deputy's question, my Department operates under State Indemnity, a self-insurance model whereby the State bears the financial risk associated with the cost of claims. The approach is set out in the Public Financial Procedures at C8 Section 11 whereby the general rule is that no insurance should be effected against the risk of any loss which, if it arose would fall wholly and directly on public funds. This is based on the understanding that the risks for which Government is liable are innumerable and widely distributed and losses maturing in any one year are never so large as to materially disturb the financial position of the year, so that it is cheaper in the long term for the Exchequer to "carry its own insurance".

The National Treasury Management Agency is designated as the State Claims Agency (SCA) when performing the claims and risk management functions delegated to it under the National Treasury Management Agency (Amendment) Act 2000. Since the establishment of the SCA, the management of claims functions has been delegated to the Agency. It currently manages claims and risks on behalf of 139 delegated State Authorities, including the Department of Health.

I have also forwarded you question to the HSE for direct reply. Details for other bodies under the aegis of the Department are operational matters for the bodies concerned and the Deputy should contact the relevant Director/CEO/Registrar directly.

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