Dáil Éireann Debate, Tuesday - 16 June 2020
48. Deputy Louise O'Reilly asked the Minister for Finance the steps he is taking to assist event workers recoup public liability insurance which has been paid to private insurance companies for the purposes of working events which will no longer be taking place; and if he will make a statement on the matter. [11118/20]
Amharc ar fhreagraAt the outset, I understand that the Deputy’s question relates to independent contractors, that work at public events, like sound engineers, security staff, etc., and not general employees of businesses that may be operating at such events. The Deputy should note that neither I, nor the Central Bank of Ireland, can interfere in the provision or pricing of insurance products, or their contractual terms, 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 contractual terms and conditions of insurance products.
It is difficult to give a precise answer in relation to the situation mentioned in the Deputy’s question. We are all aware that many events have been cancelled as a result of the COVID-19 pandemic and that this will have a negative financial impact on contractors that would have worked at these events. Government has brought forward a range of general measures to support businesses and individuals in terms of income support as part of a very significant financial aid package.
In terms of the specifics of the case of recouping money paid for such insurance it may well depend on the nature of the contract between the contractor and their insurer. I understand that such insurance contracts may not be related to particular events, but provide cover over a period of time. Therefore in some cases the contractor may benefit from the insurance taken out in terms of working at future events that may be held. In addition, whether a contractor can make a claim in relation to the cancellation of the event against their insurance policy due to COVID-19 will also depend on the specifics of the individual policy. I have repeatedly said that insurers must treat their customers honestly, fairly and professionally and honour those elements of the policies covered in line with the Central Bank’s Consumer Protection Code. However, it is important to note that neither the Government nor the Central Bank have any role in adjudicating on such matters.
Where a dispute occurs and the policyholder is dissatisfied with the service received by their insurance provider, including in relation to the situation mentioned in this question, then the appropriate channels for resolving the dispute must continue to be followed i.e. use of the Financial Services and Pensions Ombudsman (FSPO). The Deputy will be aware that the FSPO is a statutory official who acts as an independent arbiter of disputes which consumers may have with their insurance company or other financial service provider. The FSPO can be contacted either by email at info@fspo.ie or by telephone at 01-567-7000.
