Ciarán Lynch (Cork South Central, Labour) | Oireachtas source

I thank the Irish Insurance Federation for the speed of its response to the request to appear before the committee. As with most industries, the insurance industry is in a competitive and challenging environment. However, there are seven points of consideration the federation should take into account at the conclusion of today's meeting. The first is the need for a code of good professional practice with regard to problems that arise with geocoding. There must be a certification process to allow businesses and households to challenge difficulties that arise from geocoding or from remedial works being carried out. The third point is that there must be a re-examination of the eligibility criteria for household insurance. One concern is why bankruptcy precludes people from getting household insurance, particularly in light of insolvency legislation coming down the tracks. There be may be another series of insolvency measures.

Fourth, the industry has responsibility to respond in detail to situations where flooding insurance is refused, particularly in cases where a customer has an existing policy. If the business or household has had flood or subsidence insurance up to now and can no longer get cover, the insurance company has a responsibility to explain why cover is not being offered. In outlining the details, an explanation can be given to the household or business of the remedies necessary for the household or business to be covered in future. As part of an interim measure, where a business may be unable to get flood insurance while it is carrying out remedial measures, the introduction of excess payments may be a solution to assist businesses and households. The parties may agree that the first €10,000 of damage is not covered. The industry must meet the challenge in respect of climate change and the adverse weather conditions seen in recent years. According to European reports, the Irish household insurance industry is in one of the lowest risk regions in western Europe. This is also a country with the highest percentage of homeownership, meaning people are more likely to insure property than those in countries with a larger rental base. The insurance industry is in a fortunate position. As Deputy Corcoran Kennedy suggested, the Irish Insurance Federation needs to show leadership in this area and apply innovative measures and approaches.

On a positive note, at a future engagement I hope that when we talk about good practice, there will be a more immediate response. The Irish Insurance Federation should be seen as the body setting standards of good practice in the industry with regards to the areas mentioned. I invite Mr. Horan and Mr. Kemp to make any concluding comments before drawing the meeting to a close.