Ciarán Lynch (Cork South Central, Labour)
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Question 52: To ask the Minister for Finance the regulations which govern the home insurance industry; the regulations which govern increases in annual premiums; the agencies that control the setting of charges; and if he will make a statement on the matter. [32835/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The insurance industry as a whole is governed by the Insurance Acts 1909 to 2000 and regulations relating to insurance and reinsurance made under section 3 of the European Communities Act 1972. This body of legislation deals with a range of issues including authorisation provisions, prudential supervision and governance matters. The day to day responsibility for ensuring that the insurance industry complies with this legislation is a matter for the Financial Regulator which is statutorily independent in the exercise of its regulatory functions.

Consumer issues are covered by the Financial Regulator's Consumer Protection Code which amongst other things sets out a series of general principles about how financial services firms (including all insurance companies) should interact with their customers. The Code, however, does not prohibit or restrict an insurance company which conducts home insurance business from increasing its annual premium rates, as this is a commercial decision for the company in question and is generally determined by such issues as higher claims volumes and payments.

The best advice which the Financial Regulator offers to consumers on insurance premiums and other related financial services matters is to shop around in order to get the best price. In this regard, its website provides a very helpful cost comparison table which compares the costs and benefits of home insurance products from the main providers in the Irish market.