Mr. Oliver Gilvarry:

This has been an issue, particularly on the insurance side, which has been looked at for a number of years by the council, even this year and not only in the report. In February, we published a bulletin on insurance in which, from a council perspective, we welcomed the adoption of the judicial guidelines. When we look at what we are seeing in the context of some of them, since 2016, there have been high costs. We have seen, on the motor side, a reduction in costs. We are seeing approximately 30% of a decline from the peak in 2016. At the same time, we are seeing it in the employer liability and the public liability. From a council perspective, the judicial guidelines are a positive step. Within the challenge, we think they need to be reviewed in order to see what they impacts are, how they are working and the position regarding changes.

The Government has drawn up the action plan and appointed the cross-departmental working group. A number of actions have been delivered, but there are continuing issues. We are seeing an issue with employer liability and public liability in the context of availability and cost. There are a number of levers that are within our control regarding legal costs, and measures have been taken to try and attract new entrants to the market. We have to be realistic and recognise that some entities which were providing insurance here, particularly on the specialist side, out of the UK and with Brexit and the UK leaving the Union, are not passporting those services in anymore. We need to attract other entrant to establish operations here, either those out of the European Union or even for UK entities to establish subsidiaries in Ireland. There is work under way, I believe, with the Departments of Finance and Enterprise, Trade and Employment on a promotion or increased provision of an insurance office. There are all those measures.

I also wish to note the reforms relating to the Personal Injuries Advisory Board, PIAB. It has become clear that the national claims database, and the welcome extension of that into the area of employer liability, EL, and public liability, PL, is highlighting what is making up the awards relating to claims - both legal costs and the amount of awards. Putting more claims through the PIAB is completing settlements quicker and also drives through in a reduction. The more normalised the market in insurance, the more attractive the market ultimately will become for new entrants.

I referred to our bulletin in February. When you talk about insurance markets, you talk about soft markets and hard markets. A soft market, in essence, is a more normal market, where then you see a hard market with increased premiums and people pulling out because they have higher claims costs and reserving. We want to have a more stable market where there is consistency regarding claims and awards. That makes it more certain for insurance companies providing services here. Changes to the PIAB and the judicial guidelines replacing the book of quantum will assist that.

The council has been quite clear. We need to review how the judicial guidelines are working, sooner rather than later, and move forward to complete the other reforms in the action plan, particularly in the context of civil liability for work the Department of Justice and others are undertaking there, so that we can continue to drive down costs and have a more normal environment for businesses and individuals alike.