Dáil Éireann Debate, Thursday - 18 October 2018
3. Deputy Billy Kelleher asked the Minister for Business, Enterprise and Innovation the timeline for the implementation of each of the 14 recommendations made by the Personal Injuries Commission regarding personal injury awards; and if she will make a statement on the matter. [42975/18]
Amharc ar fhreagraMy question asks the Minister about the timeline for the implementation of each of the 14 recommendations made by the Personal Injuries Commission regarding personal injury awards. The reason I am raising this is that the issue is generating considerable pressure in our economy. In some areas, insurance is more expensive than rates. That is not sustainable. It is undermining business and competitiveness. It is inherently wrong that the scammers and those who abuse the system are very often the ones who are paid out while businesses are left picking up the tabs.
The Government believes it is important that consumers and businesses can obtain insurance cover at a reasonable and fair price. The cost of insurance is an issue of concern for consumers, businesses and community groups.
The Minister for Finance established the cost of insurance working group in 2016 to examine the factors contributing to the increasing cost of insurance and identify what measures can be introduced to help reduce this cost while maintaining a financially stable insurance sector. The Personal Injuries Commission was established following a recommendation in the cost of insurance working group's report on the cost of motor insurance, published in January 2017. I was pleased to submit the second and final report of the Personal Injuries Commission to the Government on 18 September 2018. The publication of this report now concludes the challenging work programme of the Personal Injuries Commission since its establishment in January 2017. The report makes ten recommendations, the implementation of which will be a matter for each of the bodies responsible. These recommendations are in addition to the four made in the first report. In this regard, I have written to relevant Government colleagues — the Ministers for Justice and Equality and Health — and other organisations, including the Garda Commissioner, Insurance Ireland, the Law Society, the Council of the Bar of Ireland and the Law Reform Commission, seeking co-operation in advancing the implementation of the recommendations relevant to them.
As the Personal Injuries Commission was established following a recommendation in the cost of insurance working group's report on the cost of motor insurance, it is intended that progress on implementation will be monitored through the cost of insurance working group's quarterly progress reports, published by my colleague, the Minister of State, Deputy Michael D'Arcy. The cumulative effects of the implementation of all the recommendations from the two reports of the Personal Injuries Commission, alongside the reports of the cost of insurance working group, should increase stability in the pricing of insurance for consumers and businesses and improved availability of insurance generally.
The table sets out the timelines for the implementation of the recommendations from the first report. While the recommendations of the second report are not time-bound due to their nature, it is expected that they will be acted upon by the bodies responsible as soon as possible.
Recommendations from the First Report of the Personal Injuries Commission
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Recommendation |
A Standardised Approach to examination of and reporting on soft-tissue injuries should be adopted. |
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Suggested timeframe for implementation |
To allow for the changeover in examination and reporting procedures it is suggested that a timeframe of by mid-2018 is appropriate |
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1. The Quebec Task Force (QTF) Whiplash Associated Disorder (WAD) grading should be used going forward by all medical professionals reporting on relevant injuries. |
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2. The Neck Disability Index (NDI) and Visual Analogue Scale (VAS) should be included going forward as part of personal injury medical reporting examinations. |
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3. Additional tests should be at the discretion of the examining medical professional. |
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4. The template form included in Appendix 6 of the Report should be used by examining medical professionals in all relevant cases. 4 a) Insurers should ensure that all cases commissioned by them from medical examiners going forward are completed in line with the template form. 4 b) PIAB should redesign their Form B going forward to reflect the recommended standardised template. 4 c) Court Rules changes should be considered which would require reports to be produced using the standardised format. 4 d) The use of standardised Medical reports should be included in any pre-action protocol developed for personal injury claims. |
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Action Points |
5. Relevant medical professional bodies to publish, as soon as possible, guidelines in respect of training for use by medical professionals. |
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Recommendation |
Training and Accreditation of medical professionals who complete personal injury medical reports should be promoted. This should become ‘Best Practice’ and training should be introduced at the CPD level. |
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Suggested timeframe for implementation |
By end 2018 |
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1. All those involved in commissioning reports should ensure the use of accredited medical professionals for completion of their personal injury medical reports, when the relevant training and accreditation programmes are in place. |
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2. Members of the PIAB panel completing personal injury medical reports should in respect of completion of relevant injury medical reports, when the relevant training and accreditation programmes are in place, be accredited accordingly. |
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3. The Accreditation requirement should be included in any pre-action protocol developed for personal injury claims. |
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Action Points |
4. The quality of the training should be monitored from implementation in the same manner applicable to existing CPD programmes. |
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5. The CPD training could be delivered by individual medical professional bodies to their members or by independent training providers to medical professional bodies and medical practitioners. |
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Recommendation |
Link future publications of the Book of Quantum to the newly standardised examination and reporting injury categories i.e. ‘whiplash’ soft-tissue injuries / QTF WAD scales. The Cost of Insurance Working Group report of January 2017 recommends that the next review of the Book of Quantum should take account of the output of the work of the PIC. This recommendation highlights the output of the initial PIC report in terms of its potential impact on this next review. |
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Suggested timeframe for implementation |
2019 when the next Book of Quantum is due for publication |
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Action Points |
1. PIAB to consider in the context of the next Book of Quantum. |
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Recommendation |
Relevant injury data should be collated and published by appropriate bodies |
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Suggested timeframe for implementation |
By end 2018 |
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1. PIAB to produce information going forward relating to the incidence of ’whiplash’ soft-tissue injuries. |
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Action Points |
2. Other relevant bodies to publish data relating to the incidence of ‘whiplash’ soft-tissue injuries. There may be merit that such data available from insurers forms part of the National Claims Information Database which is being developed by the Central Bank of Ireland and which needs consideration by the relevant parties involved. |
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Suggested timeframe for implementation |
By end 2018. |
I thank the Minister. The cost of insurance working group made some recommendations. We must monitor consistently the implementation of all recommendations along with the Personal Injuries Commission. Mr. Justice Nicholas Kearns published a report recently that outlined the great difficulties we have vis-à-vis competitors within the European Union, including our nearest neighbour, the United Kingdom. I refer to another cost that is borne by policyholders, including motor insurance policyholders, across the broader economy.
We must accept that we need a stable insurance market which is financially viable and robustly competitive. We must consider how to address claims, the book of quantum, cost awards, fraud and other barriers to an effective and efficient insurance market. There has been lethargy in dealing with some of those key areas. I hope there will be more emphasis on ensuring that the recommendations are implemented.
The Deputy is correct that the cost of insurance is a big issue for businesses. The Government is acutely aware of that, which is why we are acting to address it. My Department has brought forward the Personal Injuries Assessment Board (Amendment) Bill which will strengthen the powers of the Personal Injuries Assessment Board in order that it can process more claims, which will lower costs. I look forward to progressing the Bill through the Dáil as soon as possible and working on it with Deputy Kelleher and my colleagues. That is just one element of our approach. The Minister of State, Deputy D'Arcy, is progressing the cost of insurance working group and legislation on the national claims information database. The Minister for Justice and Equality, Deputy Flanagan, is progressing the Judicial Council Bill. A suite of measures is being progressed by the Government to reduce the cost of insurance for businesses and consumers.
The insurance industry has brought forward proposals for a dedicated Garda Síochána fraud squad. The issue has been under discussion for a long time and a fraud squad should be established as quickly as possible.
I recently brought forward the Civil Liability and Courts (Amendment) Bill which the Minister endorsed in the House. I acknowledge that it may require amendment to progress through the legislative process. It seeks to address the issue of fraudsters and scammers being rewarded in society which is anathema to ordinary decency and undermines people's confidence in our system. People who get up, work hard and pay their bills and taxes take out insurance to ensure that those injured on their premises, in their business or while using their service are compensated, yet when those people are abused by scammers or fraudsters nothing ever happens to the perpetrators. They walk out of court scot free. We must face up to it being morally and ethically wrong for a state to allow that to happen without any consequences for the people who abuse the decency of others on a regular basis.
I agree that fraudsters and scammers should not benefit in any way from their activities. What they are doing is wrong. I have met representatives of the insurance industry and businesses on the issue. The suite of measures being taken by the Government will reduce the cost of insurance.
The Minister for Justice and Equality, Deputy Flanagan, is considering a dedicated Garda unit to deal with fraudsters and I hope that he can progress it. He is progressing the Judicial Council Bill which will set up a statutory judicial council such that we can start to consider the level of awards, which will make a difference. Action needs to be taken on several issues which we are progressing as a matter of urgency.
