Michael D'Arcy (Wexford, Fine Gael) | Oireachtas source

I thank Senator Byrne for tabling a Commencement matter as it gives me an opportunity to outline the position.

Members of the Seanad will be aware that the report on the cost of motor insurance was published in January 2017. It made 22 recommendations, with 71 associated actions to be carried out. The aim of the implementation of this report is to try to remove the volatility that we have seen with motor premiums in the past number of years, both up and down, and bringing the premiums from the very high levels into line with lower levels.

The report recognises that as there is such a range of factors that influence pricing, including the natural cycle of the market, consequently it is not possible to transform the underlying dynamic overnight. It is worth noting that last month marked the first anniversary of the publication of the report. More than half of the 71 actions had been implemented by the end of 2017. Senators should note that the fourth quarterly update report will be published in the coming days. This will give full details of the implementation of each of the recommendations. The Government approved the general scheme of a Bill to establish a new national claims information database in the Central Bank of Ireland. It has been referred to the Office of the Parliamentary Counsel for drafting. This is a key recommendation of the motor insurance report as this database will collect aggregate information linked to claims for private motor business from motor insurers to provide greater transparency on claim trends. I also acknowledge the work of the Personal Injuries Commission, which is chaired by former President of the High Court, Mr. Justice Nicholas Kearns. The commission delivered its first report in December. Its finding suggest that adopting a standardised, internationally recognised approach to diagnosis, treatment and reporting of soft tissue injuries by practitioners who are appropriately competent and trained will improve the personal injuries environment in Ireland.

The Government remains committed to the implementation of the recommendations of the report of the cost of insurance working group. In this regard, work is continuing on important issues such as the development of an insurance fraud database in the Department of Justice and Equality and an uninsured drivers database in the Department of Transport, Tourism and Sport. The report provides us with a very good opportunity to address a range of problems in the sector. The Senator can be assured that I will work with my ministerial colleagues to ensure that the cost of insurance is reduced.

There appears to have been greater stability in the market in recent months. The most recent data from the Central Statistics Office, CSO, indicate that private motor insurance premiums have reduced by 16.3% from their peak in July 2016. While the CSO statistics indicate a greater degree of stability overall, these figures represent a broad average and therefore there are many people who are still seeing increases. There is work to be done in this regard. The Senator can be sure that the Department of Finance, the Central Bank and the other Departments of Government, along with everybody involved in insurance, are attempting to ensure that the cost is reduced.