Written answers

Tuesday, 31 January 2017

Department of Transport, Tourism and Sport

Motor Insurance Regulation

Photo of David CullinaneDavid Cullinane (Waterford, Sinn Fein)
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717. To ask the Minister for Transport, Tourism and Sport the plans his Department has developed or is in the process of developing to address the issue of excessive quotes for wheelchair access taxis in view of the fact that such quotes have a detrimental effect on the dynamics of the licences issued by his Department; and if he will make a statement on the matter. [4139/17]

Photo of Shane RossShane Ross (Dublin Rathdown, Independent)
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The National Transport Authority (NTA) has responsibility for the regulation of the small public service vehicle (SPSV) industry, including licensing of wheelchair accessible vehicles, under the provisions of the Taxi Regulation Act 2013.

On the issue of the cost of motor insurance, as I advised the Deputy in reply to his Question No. 279 on 19th January 2017, I am acutely aware that the rising costs of motor insurance for drivers generally are also affecting the taxi industry.  The implications of the current insurance difficulties faced by those in the taxi sector are of concern to me and the Government.

The Working Group established last year, by the Minister for Finance, to review the factors which are influencing the increase in cost of motor insurance, considered issues raised by particular sectors including taxi drivers in relation to both the availability and cost of SPSV insurance.

In its Report, published by the Minister for Finance, Michael Noonan TD and Minister of State for Financial Services, Eoghan Murphy TD on 10 January 2017, the Working Group states that the starting point for its consideration of the issues in relation to the overall motor insurance area, including the taxi sector, is that it is not possible for it to make recommendations on pricing as this is primarily a commercial matter for insurers. The Working Group indicated to all stakeholders throughout the process, that there is no immediate solution to the issue. However, the Working Group believes that the implementation of the Report's 33 recommendations and 71 associated actions will lead to greater stability in the pricing of motor insurance and will help prevent the volatility that we have seen in the market in the past (both up and down) and should also better facilitate potential new entrants to the market.

My Department, together with the appropriate bodies, will work towards implementing the Recommendations in the Report that are relevant to the taxi industry within the required timelines.

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