Carol Nolan (Laois-Offaly, Independent)
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465. To ask the Minister for Finance if he will address concerns that there is only one major insurer now available to the leisure industry and adventure tourism sector; and if he will make a statement on the matter. [18299/21]

Paschal Donohoe (Dublin Central, Fine Gael)
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I am very conscious of the difficulties facing some sectors, including those highlighted by the Deputy, with regard to the affordability and availability of insurance cover. However, neither I, nor the Central Bank of Ireland, can direct the pricing or provision of insurance products, as this is a commercial matter which individual companies assess on a case-by-case basis. This position is reinforced by the EU Single Market framework for insurance (the Solvency II Directive).

Notwithstanding these constraints, the Government has prioritised the reform of the insurance sector in order to improve the cost and availability of this key financial service, including for businesses. The Action Plan for Insurance Reformsets out 66 actions in this regard across several policy areas, including my Department, with 95% due to be completed by the end of 2021. At a recent Government meeting, the Cabinet reflected upon the work of the Cabinet Sub-Group on Insurance Reform, which oversees the implementation of the Action Plan, and to note of the considerable progress made in the first three months of this year. Achievements include:

- The creation of an Office to Promote Competition in the Insurance Market within the Department of Finance.

- The adoption of new Personal Injuries Guidelines by the Judicial Council.

- The launch of a public consultation on proposals to reform the Personal Injuries Assessment Board

The new Personal Injuries Guidelines significantly reduce award levels for many categories of common injuries, particularly those of soft tissue. The Guidelines should help to bring more certainty to claimants and insurers, and as such reinforce the benefits of using the PIAB to settle claims. This in turn should further reduce the costs of claims, particularly legal fees. The new Guidelines will come into effect on 24 April, a number of months ahead of schedule. On foot of this, Minister of State Fleming has held meetings with the main insurers to discuss their response to the new Guidelines, including the need for them to pass on savings from reduced claims award in the form of reduced premiums for consumers. The issues of insurance coverage and the lack of it on certain sectors such as those highlighted by the Deputy was also discussed in these meetings.

The establishment of an Office to Promote Competition in the Insurance Market within my Department, and the publication of its work programme, is also an important development in the context of lack of supply of insurance in certain sectors. Since its establishment, the Office has held meetings with wide range of stakeholders including insurance bodies, civil society and other state regulators on the issues of competition and switching.

In conclusion, securing a more sustainable and competitive market through deepening and widening the supply of insurance in Ireland remains a key policy priority for this Government. In this regard, it is my intention, to work with my Government colleagues to ensure that implementation of the Action Plan can have a positive impact on the affordability and availability of insurance for individuals, businesses, community and voluntary groups across Ireland.