Mr. Jackie McMahon:

We are aware that the cost of insurance is too high. We know there are too many claims and that those claims are costing too much. One part of this equation is the discussion around too many people taking claims, the awards being too high and then the cost of getting to a decision being too high. Of those three elements, if we focus on the award being too high, the compensation element, we have discussed the need for the judicial council, the need for it to come up with a book of quantum, the need for that book to value claims at approximately one fifth of what they are now, and the need for the courts to apply that consistently.

The other side of the equation, which probably is the subject of less debate, is the cost of getting to a decision. That is quite onerous and expensive. To colour it, so to speak, I will give some quick examples around the cost versus the settlement amount. What I am talking about here is the need for reform of the legal system. These are recent enough cases. The settlement amount in a work related stress claim was €60,000. The plaintiff costs were €73,000. Compensation of €15,500 was awarded for a slip and fall in a car park. The plaintiff costs were €16,200. The settlement amount for a finger injured unloading a product from a lorry was €12,500. The agreed plaintiff costs were €20,000. The settlement cost for an equine related employment accident was €81,000. The plaintiff legal costs were €108,000.

When Ms Muldoon talks about the hard miles, there is a good deal to do, and it is difficult, to reform the legal system. It is slow, antiquated, costly and, frankly, very protected, and there is very little motivation to change it. What we are doing, with good intent, is bringing in more legislation, which increases complexity and obligations on citizens and businesses.

It is this complexity and these obligations that create a lot of room for argument. It is an adversarial system that loves argument and profits from that argument.

I greatly welcome the review of the administration of civil justice announced in March 2017. I look back at the concerns in this area that have been highlighted for more than 40 years and talk to issues such as the Restrictive Practices Commission in 1982, the Fair Trade Commission in 1990, the legal costs working group in 2005, the National Competitive Council in 2010, 2011 and 2012 and the troika requirements in 2010. There are a host of other reports before and after that. It is an absolute requirement to grab that nettle to bring down costs of insurance. I support the group carrying out the review of the administration of civil justice. I am an optimist but I my holding my breath and I am afraid I might get a little red in the face.