When one thinks of the jump in cost, it is apparent just how significantly the cost of insurance is affecting competitiveness in the tourism industry. However, it is not just the more energetic aspects of the industry that are being affected by this spiralling of insurance costs. This year alone, the cost of insurance in bed and breakfast establishments rose by one third. In some cases where minor expansion work was carried out, the increase has been as much as 70%. This means the average bed and breakfast establishment with three to five bedrooms in a rural setting is now paying €1,500 to €2,000.