Niall Collins (Limerick County, Fianna Fail)
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3. To ask the Minister for Jobs, Enterprise and Innovation the position regarding introducing legislation to enhance the powers of PIAB in view of the recommendation in the cost of motor insurance report; and if she will make a statement on the matter. [43202/17]

Niall Collins (Limerick County, Fianna Fail)
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As the lead Government Minister with responsibility in this area, I ask her for an update on the introduction of legislation to enhance the powers of the Personal Injuries Assessment Board, PIAB, given the recommendation in the cost of motor insurance report. Perhaps the Minister will tell the House what progress has been made on this.

Frances Fitzgerald (Dublin Mid West, Fine Gael)
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On 27 June 2017 the Government gave its approval to the drafting of the personal injuries board amendment Bill 2017 along the lines of the general scheme. The purpose of the personal injuries board amendment Bill 2017 is to amend the existing legislation, to strengthen PIAB in terms of operational issues, to ensure greater compliance with the PIAB process and to encourage more claims to be settled through the PIAB model.

The heads of Bill have been sent to the Office of the Parliamentary Counsel for drafting. This is technical and complex legislation and it will require careful consideration during drafting in conjunction with the Office of the Attorney General. It is hoped to have the drafting of the Bill completed in the first quarter of 2018 and published thereafter. There is ongoing work on the Bill, in recognising the importance of it. We hope to have it in the first quarter of 2018.

The 2016 PIAB annual overview highlights the major benefits of the organisation, including its providing a low cost, quick and fair option in injury compensation.

According to the overview, just over 34,000 new personal injury claims were submitted to PIAB with processing costs in 2016 at 6.4% of awards, a fraction of the costs had the claims it handled required litigation. It is a very important organisation, which is cost efficient and does its work in a timely way. The new legislation will further facilitate that.

In June 2014, a public consultation was held on the operation and implementation of the Personal Injuries Assessment Board with 29 submissions being received from a range of stakeholders. The outcome of the public consultation process has informed the general scheme of the personal injuries assessment board (amendment) Bill 2017. The submissions are available to view on the Department's website.

Niall Collins (Limerick County, Fianna Fail)
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There is no doubt but that we all agree that PIAB needs to be reformed and that its legislation needs to be updated. There are approximately 30,000 personal injury claims per annum of which only 12,000 go through PIAB. That indicates that there is huge room for improvement and to improve the throughput of work PIAB can perform. One of the underlying problems with the rising cost of insurance has been that many claims are settled outside PIAB and the courts, which has led to a lack of transparency and visibility. The costs associated with claims are borne ultimately by all of us as insurance premium payers. Costs of claims processed through PIAB are in the order of 6% whereas they can be in the order of 50% of a claim if they go through the courts.

Will the issues of unsustainable and fraudulent claims be addressed in the legislation? Will the Bill, which I am sure the Minister has had sight of, cover that area sufficiently? Can the Minister update us on the work being undertaken by the Competition and Consumer Protection Commission in its investigation into the insurance sector as mentioned in the media?

Pat Gallagher (Donegal, Fianna Fail)
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I ask Deputies and the Minister to keep an eye on the clock. I hate to have to intervene all the time. The Tánaiste has one minute.

Frances Fitzgerald (Dublin Mid West, Fine Gael)
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The PIAB was established to remove unnecessary personal injuries cases from litigation. Estimates indicate that 70% of cases are now either resolved through the PIAB or settled directly between the parties. In accordance with the Acts, all personal injuries claims must be submitted to the PIAB. In some situations, however, the parties are happy to settle a claim at an early stage and without the need to refer it to the board. The PIAB assesses independently claims for compensation arising from personal injuries sustained as a result of motor or workplace accidents or in circumstances of public liability. An independent assessment is made and it is a matter for the parties as to whether they wish to accept the award. The PIAB does not address liability. Where liability is an issue, a respondent can refuse to consent to a PIAB assessment. Where the respondent refuses consent to an assessment or where either party rejects the award proposed, the board will issue an authorisation to the claimant to allow him or her to take legal proceedings.

There are two bodies working on issues relating to insurance at present. There is a commission to examine the issue of fraud chaired by Mr. Justice Nicholas Kearns. All relevant legal stakeholders are represented. The commission had its first meeting in February and has had eight meetings to date.

Pat Gallagher (Donegal, Fianna Fail)
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We have to move on.