Danny Healy-Rae (Kerry, Independent) | Oireachtas source

The cost of insurance is still a serious problem for practically everyone.

The old and young cannot pay the premiums that are now being demanded. An elderly person of 72 or 73 who never had an accident must now pay €710. This has risen from €350, despite the fact that the man is driving the same car. It has passed its test, everything is perfect and the man has made no claim. This is the way it is going.

Youngsters starting out in the world should get a chance unless they do something wrong but they are being penalised from the start. Young fellows who want to drive to work are getting quotations of €5,000 and €6,000.

With regard to transport, the quotations for lorry drivers have increased from €2,000 to €5,000. One transport company that was paying €75,000 is being quoted €250,000 for next year. This company will not be able to stay in business. Buses, especially school buses, have been affected. Quotations have risen from €2,000 to €4,000; they have doubled. Many school bus contractors are tied into contracts for the next three or four years, and some for up to five years. They will not be able to stay in business.

An elderly woman who contacted me paid €330 last year but was quoted €810 for the coming year. One of her sons rang the insurance company. He, having a lot of vehicles, asked what was going on with his mother and he managed to reduce the premium back to €330. Things like this need to be explained.

The cost of public liability insurance for businesses has gone mad. Companies are now trying to decide whether to keep going and they are analysing how much it would cost to get out of business. Homes threatened by flooding can get no insurance. The authorities will not clear the rivers. It is well known the houses are not sinking, but the rivers are rising.

An insurance broker has told me there has been a huge increase in the number and value of claims. Claimants cannot lose because some solicitors work on a no-foal, no-fee basis. The Personal Injuries Assessment Board is dealing with only 20% of claims now. Minor claims for whiplash amount to £7,600 in England whereas the figure in Ireland is €19,400. Up to €77,000 is claimed for serious whiplash in this country. Some solicitors are blatantly advertising for claimants, and insurance claims are not being fought because 70% of cases are being won. England, France and other countries are paying a lot less in the case of such claims.

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