John McGuinness (Carlow-Kilkenny, Fianna Fail) | Oireachtas source

I want to place on record the difficulties being experienced by the SME sector in regard to insurance cover. In the transport industry, some companies had their insurance increased by 100% last year and they face a similar increase this year despite having no-claims bonuses and having regular staff in place. There is no reason for this but the costs continue to go up. In some cases, courier companies cannot get cover, for some reason or another.

Whatever happens in the insurance industry, it has to be Government-led, it has to be regulated and we have to legislate for this. Every single cost that is put onto a small business, particularly in transport, goes right down the line to the consumer. That has to stop and the only way it can stop is to ensure that insurance companies do not get away with hiking the premiums in different sectors, particularly transport, which provides huge service to the country, employs a huge number of people and serves both individuals and businesses, which means everybody is affected by this.

My second point is in regard to those who cannot get insurance. I am glad the Minister of State, Deputy Harris, is present to hear this. Many people living by rivers in flooded areas cannot get insurance. As a substitute for that, we have the Red Cross scheme and funding through the Department of Social Protection. At Brett's Mills in Kilkenny, three business were affected and all three have closed. This is a family-run business that has been there for generations but it cannot get sufficient money from the Red Cross to go back into business. It is not being heard. The family is faced with a bureaucratic nightmare in terms of dealing with the businesses concerned. I hope the Minister of State and his officials will take the message back that something needs to be done.

On the same site on the Sion Road at Brett's Mills, a house was severely damaged by flooding. In the same way, the family used the compensation scheme because they had no insurance but they are now being told that, because their father owns the house, the contents cannot be covered and the family cannot be helped. However, it is a family home and it is in their name. There is no reason the Department of Social Protection should turn them down.

I ask the Minister of State and his officials to try to deal with these issues. I appeal to him also in regard to health insurance and public liability insurance. This all comes down on the self-employed, who cannot respond any more because they cannot cut that cost to their business. Where are they to turn but to the Government? Despite this, the Government has ignored them over the past five years. Similar issues have arisen in the UK but they have been dealt with by government. We have to be brave enough to take on the industry and to put in place the appropriate regulation that will ensure there is insurance for the SME sector and that it is not over-burdened by the substantial cost that is weighing it down.

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