Michael McGrath (Cork South Central, Fianna Fail)
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25. To ask the Minister for Finance the status of the second phase of the cost of insurance working group on employer liability and public liability; the timeframe for the working group to come forward with recommendations; and if he will make a statement on the matter. [44693/17]

Paschal Donohoe (Dublin Central, Fine Gael)
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Following the publication of the Report on the Cost of Motor Insurance in January 2017, the Cost of Insurance Working Group commenced its examination of the cost of business insurance, in particular employer liability (EL) and public liability (PL). This work is being done in parallel with the implementation of the motor report. The Working Group is chaired by Minister of State D'Arcy.

As part of its review, the Working Group has engaged in an extensive consultation process with a range of stakeholders including the Hotels Federation of Ireland, IBEC, ISME, the Vintners' Federation of Ireland, the Licensed Vintners' Association, the Retail Grocery Dairy & Allied Trades Association, Chambers Ireland, the Law Society of Ireland, the Health and Safety Authority and a number of insurers and brokers who cover this type of risk. In addition, submissions received from interested parties such as the Irish Farmers Association were considered as part of the process.

The issues that have been raised by stakeholders include:

- the significant increase in the cost of El and PL insurance

- the lack of competition in the EL and PL market

- frustration with inconsistency of awards and the Book of Quantum

- huge costs in challenging claims through the court process

- prevalence of fraudulent and exaggerated claims

- the need for the role of PIAB to be developed further

Following on from this consultation process, two sub-groups were formed to look in more detail at, respectively, legal-related matters and market-related issues.

It had been initially envisaged that the second phase recommendations would take the form of an addendum to the Report on the Cost of Motor Insurance and would be published by the end of September.

However, because of the complexity and the legal nature of some of the issues, it became clear that extra time would be required to properly examine the relevant issues and appropriately engage with other relevant Departments and Agencies before effective and achievable recommendations could be formulated. Therefore, the Working Group decided that a full 'stand-alone' report will instead be finalised by the end of the year.

It is expected that this report will follow a similar format to the Motor Report and include an action plan with associated actions and deadlines for implementation.