Mr. Pat O'Connell:

When the memorandum of understanding came out in 2015, many of our businesses cheered because they thought they were getting their insurance back. It was a fabulous PR job on the part of the insurance industry to give the impression that it was engaging closely with the OPW. The Cork Business Association has engaged with the OPW since 2009 on the upcoming flood defences in Cork to ensure that they work for businesses and people in the city and to give our support. The whole idea of a memorandum of understanding is that there is a result at the end of it. However, there is no substance to the memorandum, which is merely a commitment to share information. There is no commitment to do something at the end of it in the context of bringing in realistic insurance for flood areas where there has been a level of work by the OPW which is as good as anything in the world. I find it strange that the Irish insurance industry looks at the UK, where flood insurance has been brought back in, and says "They have had a problem over there". We have a problem here whereby five or six schemes have been put in already with no issues. We have had an incredible track record.

It is strange that we are before the committee this week and, suddenly, demountables are no longer a problem. Now, it is the human element. I drove from Dublin last night through miserable weather. Insurance companies expect me to press the brake pedal when I come to a red light. I am sure they expect me not to overtake at 160 km/h coming up the motorway. That is the management of risk and it is built into their pricing. It should not be an issue or a smoke-screen. There are businesses in Cork city that are on their knees because they borrowed heavily and provided personal guarantees after the most recent floods. I spoke to a prominent business person in Cork last week who had made the final repayment on a loan to redo a premises after the last flood. The figure mentioned was horrendous. That business has no insurance now and the considerable sum that should have been invested to drive the business forward is gone.