Pearse Doherty (Donegal, Sinn Fein) | Oireachtas source

My final question relates to the data.

When we have data, we need to know they are valid and accurate. Sinn Féin had reservations in regard to the legislation that underpins this report in terms of the Central Bank because we know that insurance companies transfer moneys to their headquarters. One insurance company transferred a significant amount of money to its headquarters and, therefore, was able to record a loss in this jurisdiction. This practice is legal but, therefore, the data are distorted.

On the Insurance Ireland fact file, in responses to me at a meeting of another committee Mr. Hassett, backed up by Mr. Horan, stated that the claims ratio for 2017 was 71.5%, which they reiterated to other members here today. We now know the claims ratio for 2017 was 59%, which means the insurance companies were more profitable than was suggested. At the aforementioned meeting, Mr. Hassett also made the point that the loss ratio for 2016 was 82%. We now know it was 69%, which, again, means the insurance companies were more profitable than was disclosed. He also made the point that in the three years prior to 2016 the loss ratio was in the mid-90s, but it was not. It fell into the mid-90s only in one year and it was in the mid-80s in the other two years. Again, this means the insurance companies were more profitable than was suggested.

The Insurance Ireland fact file covers 90% of the motor market. Is it nothing more than a propaganda tool given the information we now have in terms of the 100%, which could in no way allow for the type of discrepancies in the figures which Insurance Ireland present compared to what is now presented to us by the Central Bank?