Gerald Nash (Louth, Labour)
Link to this: Individually | In context | Oireachtas source

502. To ask the Minister for Finance the status of the meeting between the Minister of State for financial services,credit unions and insurance and the chief executive officers of the main insurance companies; if the Minister of State plans to raise the issue of motor insurance rebates in view of the Covid-19 restrictions and the resulting reduction in motor claims costs for insurance companies; and if he will make a statement on the matter. [15701/21]

Paschal Donohoe (Dublin Central, Fine Gael)
Link to this: Individually | In context | Oireachtas source

Working to protect insurance policyholders during and after the COVID-19 crisis is a priority issue for Government. As such, it is included within the Programme for Government and the Action Plan for Insurance Reform, launched in December. Since the onset of the COVID-19 pandemic, I have consistently called on insurers to treat their customers honestly, fairly and professionally.

I can assure the Deputy that both Minister of State Fleming and I have had extensive engagement with the main insurers and other key policy stakeholders throughout 2020 and that this will continue during 2021. As the Deputy will recall, in my meeting with Insurance Ireland in April 2020, I called on motor insurers to be pro-active and generous in relation to their customers during the COVID-19 crisis. In particular, I noted what was likely to be a significant reduction in claims for this period due to the travel restrictions that were in place at that time. This ultimately resulted in a number of insurers announcing a range of forbearance measures and motor insurance rebates for policyholders. In addition, insurers have agreed to further review the situation if extended COVID-19 restrictions on movement result in sustained lower road usage and claims frequency this year.

As part of a comprehensive engagement on the Government’s insurance reform agenda with a wide range of stakeholder interests, including Insurance Ireland, Minister of State Fleming held a series of meetings with the main Irish insurers in November and December 2020. He again raised the need for industry to respond to both the Government’s ongoing reforms and COVID-19 pandemic by lowering premiums, to continue to offer forbearance measures, and to expand their risk horizon in the market (such as providing more cover for younger drivers).

I note Insurance Ireland announced a continuance of forbearance measures on behalf of a number of its members in late January, including a number of measures directly targeting motor insurance policyholders. In the coming weeks Minister of State Fleming will again meet with the main insurers to discuss their response to the recently published Personal Injuries Guidelines.  The insurance industry’s ongoing response to the COVID-19 pandemic, including the issue of motor insurance rebates, will also be included on the agenda for these meetings.