Paschal Donohoe (Dublin Central, Fine Gael)
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At first, I wish to assure the Deputy that I am aware of issues a number of equestrian activities have in terms of accessing insurance. However, the Deputy will appreciate that 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) which specifically prohibits Member States from doing so.

Nonetheless, in order to address issues of cost and availability of insurance, the Government has prioritised the implementation of the Action Plan for Insurance Reform. The first Action Plan Implementation Report published in July, shows that significant progress has been made, with 34 of the 66 actions contained therein now completed.

One of the key achievements in the first half of this year was the implementation of the Personal Injuries Guidelines some six months ahead of schedule. Early data from the Personal Injuries Assessment Board (PIAB) shows that since the commencement of the new Guidelines award levels have reduced by an average of 40%. This is an encouraging development; it is my hope that this trend will continue and result in lower costs for insurance cover. As the insurance reform agenda progresses, we will continue to hold the industry to account on its commitments to pass on savings from the Guidelines, and other elements of the reforms, to customers. Minister of State Fleming, in his ongoing engagement with the sector, has emphasised the need for insurance providers to reduce premiums and increase their risk appetite to provide cover in new areas. He will be meeting with the major insurance providers this week to reinforce this message. A further element of the Action Plan with particular relevance to these outdoor and equestrian activities involves reviewing the Duty of Care. The Minister for Justice, who is leading on this action, has noted to Government her intention to bring forward legislative proposals to reform the law in this area. My officials understand from Department of Justice officials that these proposals are at an advanced stage.

I would like to take this opportunity to assure the Deputy that 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 the implementation of the Action Plan can continue to have a positive impact on the affordability and availability of insurance for all individuals, businesses and community groups across the country, including for leisure, sporting and outdoor activities.

Brendan Howlin (Wexford, Labour)
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210. To ask the Minister for Finance the options available a couple in full-time employment with the clear expectation of being able to repay the mortgage over a lifetime of work in circumstances in which they require life insurance to secure a mortgage for a home loan and such insurance is unavailable due to a congenital illness; if there is a requirement for the insurance industry to offer life insurance in these circumstances; and if he will make a statement on the matter. [55495/21]

Rose Conway-Walsh (Mayo, Sinn Fein)
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227. To ask the Minister for Finance if his attention has been drawn to the fact that persons with eating disorders are currently being denied access to mortgage protection insurance policies at times on a near permanent basis in respect to persons with long-term conditions; the steps he is taking to address the issues faced by persons unable to access life insurance; and if he will make a statement on the matter. [56076/21]

Paschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 210 and 227 together.

I note that both questions refer to access to life insurance products for individuals with specific illnesses or medical conditions in the context of applying for a mortgage. At the outset, it is important to note that neither I, nor the Central Bank of Ireland, can intervene in the provision or pricing of insurance products, nor can we compel any insurer operating in the Irish market to provide cover to specific individuals or businesses. This position is reinforced by the EU framework for insurance (the Solvency II Directive).

It is my understanding that generally, insurers use a combination of rating factors in making their individual decisions on whether to offer life insurance and what terms to apply. These can include age; health; family medical history; occupation; and lifestyle. In addition, these may be determined or linked to the policy duration. In the case of mortgage protection policies, these tend to be over the lifetime of the repayment schedule. In addition, my understanding is that different insurers do not use the same combination of rating factors. Accordingly, prices and availability of cover varies across the market, and will be priced in accordance with firms’ prior claims experience.

My officials have previously engaged with Insurance Ireland about accessing life insurance in similar circumstances to those referenced. According to Insurance Ireland, it is not standard practice to automatically decline cover for any cohort of applicants. It stated that insurers are obliged to assess the risk involved as part of any application for a life insurance policy, which will be specific to the individual applicant, and that the availability of cover depends on a number of factors. In this regard, I understand that applicants are asked questions about various conditions in order for insurers to assess the risk involved, and that all applicants are assessed against the same criteria. If higher risk is identified as a result of this assessment, Insurance Ireland has advised that the policy will be adjusted accordingly, and cover may be declined if the applicant poses a risk beyond the insurer’s threshold.

Finally, with regard to mortgage protection insurance and securing a home loan, I am aware that under Section 126 of the Consumer Credit Act 1995, lenders can provide a mortgage in situations where a borrower may be unable to obtain life insurance, or where such insurance is unduly costly compared to that payable by borrowers generally. In this regard my officials have consulted the Banking and Payments Federation Ireland (BPFI) which has indicated that it estimates that, on an annual basis, 2% of mortgage approvals to consumers have been granted a waiver, and only 0.05% of mortgage applications approved by its members did not proceed to draw-down due to a lack of mortgage protection insurance. Importantly, consumers who feel they have been treated unfairly by any financial service provider, including an insurer, can make a complaint to the Financial Services and Pensions Ombudsman (FSPO).