Clare Daly (Dublin Fingal, Independent)
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196. To ask the Minister for Finance the progress of the cost of insurance working group; when it is likely to report; the status of recommendations it may make; and if he will make a statement on the matter. [24241/18]

Paschal Donohoe (Dublin Central, Fine Gael)
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The Deputy will be aware that the Government established the Cost of Insurance Working Group in July 2016. Since then, the Working Group, now chaired by Minister of State for Financial Services and Insurance, Mr. Michael D’Arcy T.D., has published two reports examining the factors contributing to the increasing cost of insurance for motorists and the cost of employer and public liability insurance for businesses. These Reports identified and made recommendations on short, medium and long-term measures to help reduce the cost of insurance for consumers and businesses.

The initial focus of the Working Group was the issue of rising motor insurance premiums and the Report on the Cost of Motor Insurance was published in January 2017. The Report makes 33 recommendations with 71 associated actions to be carried out in agreed timeframes, which are set out in an Action Plan.

In its second phase, the Working Group examined the cost of business insurance, in particular employer liability insurance and public liability insurance. This work culminated in the publication of the Report on the Cost of Employer and Public Liability Insurance on 25 January 2018. The Report makes 15 recommendations with 29 associated actions to be carried out in agreed timeframes, which are set out in an Action Plan. All 29 actions are scheduled to be implemented before the end of 2019, with 26 due for completion this year.

Work is ongoing on the implementation of the recommendations from the two Reports by the relevant Government Departments and Agencies and there is a commitment within each that the Working Group will prepare quarterly updates on its progress.

The fifth such update was published on 11 May 2018 and is the first to detail the implementation of both primary Reports. It shows that, in relation to the Report on the Cost of Motor Insurance, of the 50 separate deadlines set to date within the Action Plan, 40 have been met, while substantial work has also been undertaken in respect of the nine action points categorised as “ongoing”. Meanwhile, all eight actions due during Q1 2018 from the Report on the Cost of Employer and Public Liability Insurance have been completed on time.

Both of the primary Reports and all of the quarterly updates are available on the Department’s website, within "The Cost of Insurance Working Group" sub-section of the main “Insurance” section.

It should be noted that the most recent CSO data (for May 2018) indicates that private motor insurance premiums have decreased by 19% since peaking in July 2016. While it is accepted that motor insurance premiums are still at a very high level for many people, such statistics indicate at least a greater degree of stability in the market on an overall basis.

The Working Group will continue to focus on implementing the recommendations of the two primary Reports. The cumulative effects of the completion of the two reports’ recommendations, with the appropriate levels of commitment and cooperation from all relevant stakeholders, should achieve the objectives of delivering fairer premiums for consumers and businesses, and a more stable and competitive insurance market without unnecessary delay.