Niall Collins (Limerick County, Fianna Fail)
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247. To ask the Minister for Transport, Tourism and Sport his views on the continuing rise of taxi insurance; and his further views on proposals in this regard (details supplied). [45324/17]

Shane Ross (Dublin Rathdown, Independent)
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A prohibition on the transfer of all Small Public Service Vehicle (SPSV) licences was first introduced in the Taxi Regulation Act 2013, on foot of an action in the Taxi Regulation Review Report, which was published in 2011. The rationale for the measure was that a licence should indicate a person’s suitability to carry out a function and should not have, by association, a monetary value or be trade-able on the open market. As quantitative restrictions have been removed from the taxi market and there are no barriers to entry to this industry - other than the obligation to use a wheelchair accessible vehicle (WAV) - it is not clear how the transferring of licences on the open market now (as proposed by the Deputy's question) would deliver benefits to the industry or members of the public, especially those who require access to WAVs.

In relation to the issue of motor insurance, increased premium costs for drivers are concerning. It is clear that the increased costs of motor insurance for all drivers, particularly in the couple of years up to 2016, has also affected those working within the SPSV industry. I am informed that there some early signs that this trend is beginning to regress with recent CSO figures showing that motor premiums generally were 14% lower in September 2017 compared with a year earlier.

The pricing of insurance products is a commercial issue for insurance companies, based on an assessment of the risks that they are willing to accept. This position is reinforced by the EU framework for insurance which expressly prohibits Member States from adopting rules which require insurance companies to obtain prior approval of the pricing or terms and conditions of insurance products.

Notwithstanding this, I am keenly aware of the how insurance issues are affecting the taxi industry. As the Deputy may be aware, the Department of Finance Working Group’s Report on the Cost of Motor Insurance was published in January of this year. Based on recommendations from this report, the Advisory Committee on SPSVs met with Insurance Ireland on 22 May to discuss cost of insurance issues relating to the taxi industry and a report on the same was issued to me on 21 June. I have forwarded the report to Minister of State Michael D’Arcy, who is the chair of the aforementioned Working Group. That Group is already pursuing many of the recommendations arising from the meeting, including the need for further engagement to take place between the Advisory Committee on Small Public Service Vehicles and Insurance Ireland.

It is my hope that this cooperation and engagement will deliver better rates for all motorists including taxi drivers.