Written answers

Thursday, 10 February 2022

Department of Enterprise, Trade and Employment

Insurance Industry

Photo of Barry CowenBarry Cowen (Laois-Offaly, Fianna Fail)
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57. To ask the Minister for Enterprise, Trade and Employment his legislative priorities in the area of insurance, specifically personal injuries; and if he will make a statement on the matter. [6813/22]

Photo of Robert TroyRobert Troy (Longford-Westmeath, Fianna Fail)
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Insurance reform is one of Government’s top priorities. The Cabinet Committee Sub-Group on Insurance Reform, of which I am a member, published the Action Plan for Insurance Reform in December 2020. This is one of the most important programmes of reform that this Government will undertake.

Across Government Departments significant legislative reforms have already been completed.

Principal actions delivered to date include the establishment of the Office to Promote Competition in the Insurance Market and the Insurance Fraud Coordination Office. Legislation to strengthen the laws on perjury has been enacted. The commencement of the Personal Injury Guidelines is a milestone reform. Under the Guidelines award levels have reduced across nearly all ranges with the level of reduction ranging from 31% to 69% depending on the severity of injury. PIAB data shows a significant downward shift in award values which will reduce the cost of claims.

Following Government approval, the Department of Finance published the General Scheme of the Insurance (Miscellaneous Provisions) Bill 2021 on October 20, 2021, to enhance transparency and ensure consumer protection. The Bill covers a number of insurance-related matters. Drafting of the Bill has now commenced.

While progress on these actions is welcome, Government is committed to doing more to reduce insurance costs. The Minister for Justice is considering legislative proposals to reform the law in the area of occupier’s liability.

In terms of legislation under the aegis of my Department, yesterday I published the General Scheme of the Personal Injuries Resolution Board Bill 2022. The General Scheme proposes to amend the Personal Injuries Assessment Board Act 2003-2019 in a number of ways including:

- PIAB will be given a new function – to offer mediation as a means of resolving a claim.

- PIAB will retain claims of a wholly psychological nature.

- PIAB will deepen its analysis and public information roles.

- PIAB will have additional time to assess claims where an injury is yet to settle rather than releasing to litigation.

- The Court’s discretion regarding costs in litigation will be tightened.

I am determined to progress this legislation to enactment in 2022 and I am confident that these reforms will increase the number of personal injury claims resolved through the PIAB process.

On the 31stof January 2022, the Tánaiste and I published the Competition (Amendment) Bill 2022 to give more powers to the Competition and Consumer Protection Commission (CCPC) and the Commission for Communications Regulation (ComReg) to protect consumers and challenge anti-competitive practices by business.

Implementation of these legislative reforms together with the other actions set out in the Action Plan will deliver meaningful reform of the insurance market and create the conditions for the provision of affordable insurance for consumers and business.

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