Peter Fitzpatrick (Louth, Fine Gael)
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Air Bound Trampoline Park in Dundalk is the latest revolution in sport and fitness for both children and adults. It is made up of hundreds of square metres of interlocking trampolines covering the floor space and going up the walls. This is a big attraction in Dundalk. It is a great way for families to come together and have fun while exercising. It also caters for children who have special needs. In this era of computers and play stations it is vital that organisations that promote exercise such as Air Bound Trampoline Park are supported by the Government.

Last night, Air Bound Trampoline Park announced via its Facebook page that two years after opening its doors, it must close on Tuesday next, 12 December, just before Christmas. This will affect the 15 members of staff and their families because they will now be unemployed. The reason is that the trampoline park simply cannot get insurance. There are ten insurance claims against the park in the past two years, seven of which arise from a jump tower which was in place in the company's first year of business. It has been closed since last February.

I received a huge volume of phone calls from constituents in Dundalk asking me to help Air Bound. This morning I called to Air Bound to find that the management and staff are simply gutted that it has come to this. They have been in contact with the insurance company for over three months, trying to come to an arrangement, and now it will not even offer them a quote.

I also received a phone call this morning from a parent who was very upset that Air Bound was due to close. Her daughter has dyspraxia and requires physiotherapy. She informed me that her daughter attends Air Bound three times per week. On Tuesday and Thursday evenings it offers a class for one hour, called fit camp, which is for all children, including those with special needs. On Friday evenings it has a class for children with autism and dyspraxia only. She told me that the service it offers has resulted in her daughter requiring less physiotherapy, and her social and sensory skills are improving, along with her overall health and fitness. She told me that the management and staff bend over backwards in assisting children with special needs and that it is affordable.

It is no secret that I am a fan of fitness and the promotion of a healthy lifestyle - "your health is your wealth". I go to Air Bound most Saturday mornings with my two grandchildren. On a Saturday morning it offers what is called a toddler morning, which is for children under the age of five only. It has a great community spirit and offers a great chance for young children to interact with one another while having fun and exercising. Childhood obesity is currently a major problem in Ireland and it is vital that, as a Government, we promote heath and exercise for children. If this place is to close, it is the children who will lose out.

When I visited Air Bound today, I was very annoyed to be informed that it has been advised that if the trampoline park was to relocate to Newry, County Down, Northern Ireland, it would receive insurance. I could not believe this was happening. This is a family business run by Gayle Maguire and her family, with a great staff, doing fantastic work for children with disabilities and not making it hard on their pockets. Thankfully, just this afternoon, with the help of Douglas Howell of Cullen Insurances in Newport, County Tipperary, we have secured insurance for Air Bound Trampoline Park. Fifteen jobs are safe as Air Bound is not closing, which is great news.

The issue is that it is becoming nearly impossible to secure public liability insurance in Ireland. This is due to the lack of competition in the South of Ireland, which is not like the North. There seems to be a very narrow risk appetite in the South. The price differentials among insurers show that many insurers are offering different prices for different channels. This is confusing people and putting customers at a major disadvantage. Brokers in the North are providing choice and advice, whereas, in the South, there is a big push by insurers to go direct, which takes out the advice and makes it easier for insurers to turn down claims. Commercial business cannot be written in the South, which is resulting in a lot of Irish business now going to the UK, such as motor fleets.

Seán Kyne (Galway West, Fine Gael)
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I thank Deputy Fitzpatrick for raising this very important Topical Issue matter and I am delighted to hear that matters have been rectified since it was put down today. Thankfully, the staff and management of Air Bound Trampoline Park have received good news, which is excellent, although I understand where the Deputy is coming from in terms of ensuring this sort of thing does not happen in the future.

I am taking this matter on behalf of the Minister of State at the Department of Public Expenditure and Reform, Deputy Michael D'Arcy. It is important to be clear on the matter of responsibilities. The Minister for Finance is responsible for the development of the legal framework governing financial regulation. Neither he nor the Central Bank of Ireland have the power to direct insurance companies on the pricing or provision of insurance products. Indeed, the EU framework for insurance expressly prohibits member states from adopting rules which require insurance companies to obtain prior approval of the pricing or terms and conditions of insurance products. The provision of insurance cover and the price at which it is offered is a commercial matter for insurance companies and is based on an assessment of the risks they are willing to accept and adequate provisioning to meet those risks. These are considered by insurance companies on a case-by-case basis.

As a result, the Minister for Finance is not in a position to intervene in the case of this or any company. It is also important to say in this instance that the type of activity conducted appears to be of a particularly risky nature and, therefore, requires the application of the highest possible safety standards at all times in order to avoid accidents and potential claims. Insurers will generally give some credit for such measures when making a decision to provide cover and at what price. In addition, while I have considerable sympathy for a company that finds itself in this position, I am strongly of the view that, while there is no statutory requirement to have a minimum level of public liability insurance cover, it would be unwise to conduct any type of business in its absence.

That said, both the Minister for Finance and the Minister of State, Deputy D’Arcy, in their roles in financial services and insurance are aware of recent problems in regard to the provision and price of insurance for businesses generally. Indeed, that is why the Cost of Insurance Working Group, which was established by the then Minister for Finance, Deputy Michael Noonan, and which is currently chaired by the Minister of State, Deputy D'Arcy, chose to examine the employer liability and public liability insurance sectors in its ongoing second phase, following the publication of the report on the cost of motor insurance in January of this year.

Some of the issues which have been raised by businesses and other stakeholders consulted during this second phase include: the significant increase in the cost of employer liability and public liability insurance; the lack of competition in the employer liability and public liability insurance market; frustration with the inconsistency of personal injury awards; high costs in challenging claims through the court process; and the prevalence of fraudulent and exaggerated claims. The working group is currently in the process of finalising its second phase report on employer liability and public liability, which will follow a similar format to the report on the cost of motor insurance, and thus will include an action plan with associated actions and deadlines for implementation. The final report is expected to be submitted to the Minister for Finance for approval by the end of the year and subsequently published in January, following approval by Government. It is envisaged that the implementation of all the recommendations cumulatively, with the appropriate levels of commitment and co-operation from all relevant stakeholders, will achieve the objectives of delivering fairer employer liability and public liability premiums for businesses, and a more stable and competitive insurance market, without unnecessary delay.

Finally, and notwithstanding the strict demarcation of responsibilities already referred to, Department of Finance officials today contacted Insurance Ireland in regard to the specific case which the Deputy has outlined. Insurance Ireland responded to confirm that it would be agreeable to engaging with the particular insurance provider concerned if all appropriate details could be submitted to it. In this regard, Insurance Ireland operates a free insurance information service for those who have queries, complaints or difficulties in regard to obtaining insurance, and the relevant contact details are on its website.

Peter Fitzpatrick (Louth, Fine Gael)
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I think the Minister of State is wrong. The leisure industry needs help. I am delighted to see the Minister, Deputy Zappone, in the Chamber. I would like to invite her to Dundalk to visit Air Bound Trampoline Park, which is doing a fantastic job. It is looking after children, including children with disabilities, it is helping to combat obesity and is helping people make their lives healthier and live longer. It is fantastic for getting families together. As I said, I go there with my two grandchildren most Saturday mornings when I am free. Even at my age, I can still enjoy the trampoline park. I would extend to the Minister a warm welcome to Dundalk and to Air Bound.

It is vital that, as a Government, we address this issue. Insurance is becoming a huge issue in Ireland. Air Bound's previous insurer failed to even offer it a quote. Insurance companies' prices are rising for people on a daily basis. It seems highly unfair that they can raise a person's car policy in some cases by as much as 60% and then, on the other hand, refuse to even offer a company a quote. We need to put something in place now before more jobs are lost or companies simply decide to relocate 15 minutes up the road to the North of Ireland, where insurance companies are willing to play ball. Air Bound is doing everything right in regard to health and safety, risk assessment, checking equipment, training staff and improving services all the time.

The injuries board is not fit for purpose. We have a lack of competition. We are trying to push insurance brokers out of the market although they are providing choice and advice, as we can see from Cullen Insurances helping to secure insurance to keep Air Bound open. Insurers are operating directly, which is making it easier for them to turn down claims. Let us call a spade a spade. Insurance companies of leisure businesses in Ireland are paying out higher claims than those in Northern Ireland and the rest of the UK. This is something we have to look into - claims, claims, claims. Ireland has a name for high claims and it is something we will have to combat.

I want to wish Gayle Maguire at Air Bound Trampoline Park and her staff all the best and thank her for providing a fantastic service for all the young and old in Dundalk and surrounding areas. I again thank Douglas Howell of Cullen Insurances for keeping a good business going and keeping its employees in employment.

Seán Kyne (Galway West, Fine Gael)
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I applaud the Deputy's sincerity and the interest he has taken in this company. It is great news for staff coming up to Christmas that it has been able to find this vital insurance. I will pass on the comments he has made to the Minister of State, Deputy D'Arcy, and I am sure he will also investigate the matter. I am not aware of the company, although it sounds a wonderful facility and important in terms of health and fitness, particularly in regard to its important work for those who suffer from autism or have other special needs. I can imagine it does an outstanding job and it is great, coming up to Christmas, that the staff and management have job security.

10 o’clock

The report on employer liability and public liability, which follows on from the previous report on the cost of car insurance, will be published once it is agreed by the Government early in the new year. The Government and the Oireachtas are acutely aware of issues of cost and competitiveness in terms of the claims culture and all that goes with it.

It is wonderful news, and much better than when Deputy Fitzpatrick tabled this Topical Issue for debate earlier in the day,-----

Peter Fitzpatrick (Louth, Fine Gael)
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Yes.

Seán Kyne (Galway West, Fine Gael)
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-----that this situation has been resolved. Keep the pressure on, and I will do the same with the Minister of State, Deputy D'Arcy, regarding the report.