Michael D'Arcy (Wexford, Fine Gael) | Oireachtas source

People say the Government should do more or the Government has not done enough, but it is not the regulator of the sector. The Central Bank of Ireland regulates it.

I was at a meeting recently to speak about insurance and I explained the Judicial Council Bill. A woman responded and said that we should tell the judges what to do now that we have a panel of seven. We do not have the authority to do that under the separation of powers. People think the Government should tell judges what to do. We are putting a structure in place and if it is required, the LRC will make a determination on whether we have the authority to do so. If not, and there is no change in the amounts, the only way the Oireachtas can acquire the authority is via a referendum. We are prepared to consider that, depending on the outcome. I do not wish to have to take that path but if we must do so, it is something we will consider.

In addition, people have the perception that the Government should price insurance. A major editorial by a well respected business newspaper stated that the Government should consider entering the insurance market. We are expressly prohibited from doing so by law. People have a perception that the Government should do this, that and the other in areas where it is disallowed. We cannot go there. If we do, we will end up wrapped up in the courts for years and the reforms we are trying to make will not happen at all. Nobody wants that. There is a reason for everything we are doing or have not done.

With regard to the period I envisage - and I put this strongly to Insurance Ireland - the moment the Judicial Council Bill is passed a show of good faith from the insurance companies should be, first, an improvement in their risk appetite and, second, the premiums to reduce immediately. Insurance Ireland tells me it does not know if the Bill will be passed. That is a fair statement. If it does not pass before the summer recess, will it be passed in 2019? It probably will be, but it will be at the end of the year. One is then looking at a decision on the formation of the committee taking longer, the formation of the committee taking longer and the decision within the committee taking longer again. If we do not get this done before the end of the session, it could be the end of 2020 before it happens. That would be a catastrophe. That is why I am pushing so strongly to get the legislation through, for an earlier signature motion for the President, for the council to be formed and for it to get on with its work as quickly as possible.

However, I have put it to Insurance Ireland and I will put it to the companies directly that they need to start to show good faith to us for the work we have done to try to improve the sector. We have all done that work, including members of this committee and Members of the Dáil and the Seanad. We are doing everything we can to try to improve the sector in its totality. I am fine with companies making a profit, but I am not fine with companies profiteering.