Niall Collins
Ceist:255. Deputy Niall Collins asked the Minister for Finance his views on a practice (details supplied) in relation to insurance; and if he will make a statement on the matter. [28134/20]
Amharc ar fhreagraTuesday, 6 October 2020
Ceisteanna (255)
Freagraí scríofa
As 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, neither I nor the Central Bank are in a position to direct insurance companies as to the pricing level or terms or conditions that they should apply in individual cases.
It would appear that the details supplied are referring to an arrangement whereby the insurance policy is being paid by instalments, and that this is being facilitated through a financing arrangement as part of the insurance contract. In such cases, a consumer may have to pay an additional amount of interest on the premium amount over the period. It is my understanding that such arrangements are relatively common, and that they provide additional financing options for consumers who may not wish to pay for the insurance contract upfront.
In situations where a person is not satisfied with the actions of an insurance provider in relation to the service provided, it is advisable that that person make a complaint to the firm's internal complaint resolution process. The Consumer Protection Code requires that, if after 40 days the complaint has not been resolved to the customer’s satisfaction, the regulated entity must inform the consumer that they may refer their complaint to the Financial Services and Pensions Ombudsman (FSPO). 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. Investigations by the FSPO are free of charge to the complainant.
In addition to this, Insurance Ireland, the representative body for insurance providers in this country, operates an Insurance Information Service for those who have queries, complaints or difficulties in relation to obtaining insurance, which can be accessed at feedback@insuranceireland.eu.