David Norris (Independent)

The problem relates to what I said at the outset, that I have no argument with any insurance equation that is the result of an actuarial calculation. There is risk. The insurance company insures you against a particular kind of risk. My motorcar is a very beautiful instrument, but its market value is only about €5,000 or €6,000, thanks to the snobbery of the Irish motorist, who does not want a second-hand car, as well as to the high cost of maintaining and running it. The insurance on it is third party, fire and theft only, so the insurance company cannot claim that the enormous cost of the insurance is because of the replacement value of the parts, because I will have to pay for them regardless. In a larger car I am driving at a slower rate, so I am probably a much safer motorist. For becoming a safer motorist in a cheaper car, I am charged about five times the premium. That is mad.

What we should be doing, in terms of the investigation established by the Tánaiste, is looking at how the premium is calculated. It should relate to what the insurance company might have to pay out in certain circumstances. No matter what damage I do, the insurance company has much less exposure. However, its gets away with charging me nearly €2,000 for the privilege of insuring my car.