Maureen O'Sullivan (Dublin Central, Independent) | Oireachtas source

It is positive that we are having this discussion, which is thanks to the Rural Independent Group. Insurance affects many people in both rural and urban Ireland. I read the eight points the motion recognises and I agreed with each one of them. I will discuss a couple of them. The first states that, in the 19 months since the working group was set up, there has been no reduction in costs.

I can testify to that because of the continuing calls relating to year-on-year increases. We know that insurers work off risk assessment criteria but the calls I am getting are not from young men with numerous endorsements on their licence and penalty points galore. The calls are from people who are wholly reliant on their cars, have impeccable records while driving and, crucially, have no penalty points. They are either being denied insurance or are being given extortionate quotes. I think in particular of elderly people. They rely on their car. That is their way of showing their independence, be it going to the shops, visiting people or socialising. When they are being hit with extortionate rates on insurance, it cripples their independence and has a really severe effect on their psychological well-being.

Regarding the point about there being several barriers to obtaining motor insurance in Ireland, insurance should be about giving peace of mind and value for money but, unfortunately, it is not and there is a lot of disdain for insurers because, ultimately, people only do it because it is a legal requirement and there is a perception that insurers will use any loophole to get out of paying. We see this. If they have an accident, regardless of who is at fault, how many people do not go through the insurance company because they know that it will cost them more in the long run?

Denying insurance to ten-year-old vehicles with valid NCTs is wholly discriminatory. We know there are incentives for people to buy new cars such as the scrappage deal and re-sale value but there are many people who cannot afford new high-spec models who are being further victimised because they have older cars. Someone cannot be insured without an NCT. The NCT means that a car is roadworthy so the age of the car should have no bearing on the insurance company's willingness to offer someone a policy. I do not know about everybody else but I have certainly met people who have ten-year-old cars that are in pristine condition. These are people who have great pride in their cars and can look after them better than those who have new cars.

Regarding the difficulties returning emigrants have in obtaining insurance, I am a member of the Oireachtas Joint Committee on Foreign Affairs and Trade. The committee have been looking at this issue and its members keep hearing about it, particularly Senator Lawless and Deputy Grealish because they are in contact with so many migrants coming back to Ireland who have difficulties getting insurance. Somebody with a no-claims bonus for many years could emigrate to the US, live and drive there for three years and when they come back here, find they are denied that driving history. I know one young person who worked in Boston and San Francisco. When he came back here and tried to get insurance, he discovered it would have been financially better for him if he had continued paying his car insurance in Ireland even though he was not here rather than try to take out new insurance.

I must talk about penalty points because it does not make sense that someone gets the same number of penalty points for driving at 55 km/h in a 50 km/h zone as someone driving at 90 km/h in the same zone. That is illogical. For taxi drivers, the issue is about making a living, the pressures on them and the difficulties they face due to increases in their insurance, particularly for those who want their taxis to be wheelchair-accessible. We know how scarce those taxis are.

Unfortunately, we live in a culture of claims, which has a terribly detrimental effect on those people carrying out voluntary work. They are nearly being insured out of carrying out that work such are the pressures on them. Another issue is the impact of bogus claims on those with genuine claims.

I listened to the Minister of State's words earlier and heard him talk about reform of the sector, recommendations and engaging with the working group but the reality is that the calls regarding complaints and criticisms are continuing. The insurance industry continues to be a law unto itself. While the Government amendment makes the point about the role of the Minister for Finance and how he cannot interfere in the provision or pricing of insurance products, surely there is a role for every Minister in terms of the principle that life must be fair for everybody across the board. It is certainly not fair for people who are looking for insurance.

We are talking about the working group and 19 months. We should be seeing a real impact from that work but we are not. If we were seeing the impact, we would not be getting the calls we are getting, which are increasing. It is a shame because insurance should be a safety value and give people peace of mind but it is not. We see the same scenario with people with regard to home insurance. I know because I live in Dublin Central, which has had floods. Although much work has been done on flood prevention measures, the insurance companies do not take that into account. Even if only part of an area has been flooded, people in the part that was not flooded still cannot get flood insurance. We have a responsibility. People need to be protected and there needs to be fairness for people across the board.

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