Charlie McConalogue (Donegal, Fianna Fail)
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6. To ask the Minister for Finance if his attention has been drawn to the difficulties being experienced by livestock marts as a result of hikes in insurance premiums; if he has discussed measures to tackle this issue with his Cabinet colleagues; and if he will make a statement on the matter. [41680/17]

Paschal Donohoe (Dublin Central, Fine Gael)
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I am aware that the livestock marts sector has encountered difficulties in relation to insurance matters, as this was the subject of a Topical Issue discussion in this House in July, and in addition, it has arisen as an issue in the course of the second phase work of the Cost of Insurance Working Group (CIWG) on employer and public liability insurance.

My understanding is that the major problem facing marts is access to cover, as there are a very limited number of companies willing to provide such insurance. Insurance Ireland has advised that this is because livestock marts have a significant exposure to injuries to employees and members of the public. Consequently premiums are reflective of the hazardous nature of this sector as well as its overall claims experience. However they have indicated that they are not aware of any recent major increases in the cost insurance for agricultural mart owners. 

In order to try and mitigate the hazardous nature of the marts environment, Insurance Ireland has also advised that insurers have developed active risk management programmes to try to reduce the level of accidents and injuries.  In addition, I understand that insurers have been working with marts with a view to implementing improvements in management practices and facilities to reduce claims as this is the key area to manage claim costs.

The Deputy should also note that in my role as Minister for Finance I am responsible for the development of the legal framework governing financial regulation. Neither I nor the Central Bank can interfere in the provision or pricing of insurance products, as these matters are of a commercial nature, and are determined by insurance companies based on an acceptance of the risks they are willing to accept.

Nevertheless, I acknowledge that it is possible for the State to play a role in helping stabilise the insurance market and deal with factors contributing to the availability and cost of insurance, and that explains why the CIWG is currently considering the issue of employer and public liability cover including its impact on the agri-sector.