Leo Varadkar (Dublin West, Fine Gael) | Oireachtas source

I thank the Deputy for raising this important issue. I am very conscious of the impact of the rising cost of insurance and its enormous cost burden on individuals and in particular on businesses around the country. In recognition of the increased cost of insurance for motorists and businesses in recent years, a cost of insurance working group was established under the chairmanship of the Minister of State at the Department of Finance, Deputy D'Arcy. It examined the factors that led to increases in the costs of motor insurance and insurance for business. In respect of businesses specifically, the working group examined employer liability and public liability insurance areas as these represent significant business lines that have been identified by a range of business sectors as having increased disproportionately in cost in recent years. Work to implement the recommendations of these reports is now advanced and is well under way. It is hoped that the implementation of the recommendations will lead to greater stability in the pricing of insurance for both motorists and businesses.

We must remember, however, that neither the Minister for Finance nor the Central Bank can interfere in the pricing of insurance products. This is a private market and as these matters are of a commercial nature and are determined by insurance companies, they must be based on an assessment of the risks they are willing to accept.

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