Dáil Éireann Debate, Tuesday - 6 November 2018
190. Deputy Fiona O'Loughlin asked the Minister for Finance the measures he is taking to address the practice in the motor insurance industry of unfairly charging excessive premiums for returning emigrants regardless of their driving experience. [45117/18]
Amharc ar fhreagraAs the Deputy may be aware, in fulfilment of a recommendation from the Report on the Cost of Motor Insurance, a protocol was agreed between Insurance Ireland and the Department of Finance under which insurance companies committed to accepting the driving experience returning emigrants gained while abroad, when the driver has had previous driving experience in Ireland. The guiding principle of the protocol is to ensure that a returning emigrant is not treated any differently to any other driver subject to their ability to demonstrate, and the insurance company to verify, continuous driving experience and the normal acceptance criteria of the company. What this means is that the returning emigrant will not be disadvantaged from spending time abroad. Furthermore, under the protocol, insurance companies will not distinguish between countries on the basis of which side of the road driving takes place therein.
In relation to the implementation of this recommendation, Insurance Ireland submitted a report to the Department in December 2017. This report confirmed that Insurance Ireland members have agreed to publish the wording of the agreed protocol on their company websites and any other forms of social media, in addition to providing training for staff who can work through issues with emigrants before they leave, whilst they are out of the country and when they return to Ireland. The stated intention is “to resolve any issues well before they arise and for the consumer to be aware of the considerations when moving abroad”. The wording of the agreed protocol is also available on the Insurance Ireland website.
The Insurance Ireland report also outlined some sample cases which demonstrate how the rolling-out of the protocol has led to disputed cases being resolved to the benefit of returning emigrants, and provided figures indicating that the number of such cases being processed under the Declined Cases Agreement (DCA) decreased during the first six months of 2017. I understand that the DCA figures subsequently provided in respect of the second half of last year showed that this downward trend continued throughout the remainder of 2017. The next report on the operation of the DCA, outlining the figures for 2018, is due to be submitted to my Department in Q1 2019. Officials will examine the breakdown of the number of cases in the report to determine if the downward trend is continuing.
It is important to highlight that if a returning emigrant believes that they have received a high quote due to an insurance provider not accepting driving experience gained while abroad, they should contact the free Insurance Information Service operated by Insurance Ireland, which can be accessed at feedback@insuranceireland.eu or 01-6761820.
Finally, the Deputy should also note that my officials are continuing to monitor the implementation of this recommendation through their regular engagement with Insurance Ireland.
