Johnny Mythen (Wexford, Sinn Fein) | Oireachtas source

Insurance is one of the largest bills people face on an annual basis. Many small businesses, community groups, motorists and homeowners cannot make a living without insurance. Insurance companies are well aware of this stranglehold. Between 2009 and 2020, insurance companies increased liability premiums by 25%. They had an operating profit of 20% in 2020. Following the introduction of the new personal injury guidelines which came into force on 24 April 2021, data from the Personal Injuries Assessment Board show a 42% drop in awards. However, a recent survey by the Alliance for Insurance Reform shows that premiums have risen by 16%. I call on the Minister of State to ensure these significant savings are passed on in some form to already squeezed customers facing inflation rates not seen in this country for more than 20 years.

It is incumbent on the Government to use its power put pressure on these companies. One significant way it could do this is to support Deputy Doherty's Judicial Council (Amendment) Bill 2021. It simply provides for the monitoring of insurance companies by the Central Bank and the Oireachtas to provide an annual auditing report to assess if some of these savings can be passed on to their clients. I do not understand why the Government would oppose such legislation which would provide customers with a robust form of protection against overpricing.

Local clubs and associations even tidy towns committees in my county are coming under severe pressure to continue to provide insurance cover for their members. Some clubs are asking members to take out their own private insurance. This will act as deterrent to upcoming sportsmen and sportswomen, putting parents under even more pressure and will cause some smaller groups to disband altogether.

The Government must act accordingly. Too many sectors, such as self-employed, tradespeople, leisure, motorists, childcare, tourism, clubs and all sorts of associations are affected by an unregulated free market. We welcome the setting up of the office to promote competition in the insurance market, but this must go hand in hand with measured scrutiny and annual collected empirical data of the industry to ensure that people are not paying premiums way above the norm. I call on the Government to support the Judicial Council (Amendment) Bill 2021 to curtail the excessive profiteering of this industry and protect the citizens of this country from being overcharged.

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