Michael Lowry (Tipperary, Independent)
Link to this: Individually | In context | Oireachtas source

312. To ask the Minister for Finance if he is aware of the plight of motorcycling sport clubs in the Republic as a result of massive insurance premiums, and the current prospect of the governing bodies of such clubs being unable to secure an insurance quote to run events (details supplied); the steps being taken to ensure that such motorcycling sport clubs will be able to obtain an appropriate insurance quote that would allow for the running of any road, off-road, and circuit racing on the island of Ireland in 2023; and if he will make a statement on the matter. [12739/23]

Michael McGrath (Cork South Central, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

Government is aware that a small number of activity-related sectors are currently facing difficulty in terms of affordability and availability of insurance. We have therefore prioritised the implementation of the Action Plan for Insurance Reform, which aims to improve the cost and availability of insurance for all groups, including sporting organisations. The latest Implementation Report, published in November 2022, indicates that significant progress has been made, with approximately 90 percent of the actions either delivered or initiated.

Officials from my Department have been in contact with a wide range of stakeholders in the motorcycle racing sector to gain an insight into the scale of the issue you raise. This has also been raised with Insurance Ireland. I understand that while events such as motorcycle test and track days continue to operate, motorcycle racing is facing difficulties with insurance availability.

It is a feature of the Irish insurance market that some smaller sectors, including motorcycle racing, have traditionally been dependent on specialist UK providers passporting into Ireland. As a consequence of the UK’s decision to leave the EU, this practice has now ended and it has become more expensive and difficult for niche underwriters from the UK to provide their products here. This has been exacerbated by the small size of some of these sectors, meaning that just one or two large or catastrophic claims can negatively impact insurance capacity for an extended period of time.

At the same time however, work is ongoing to investigate insurance in the sporting sector as a whole, by the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media in conjunction with Sports Ireland. Accordingly, National Governing Bodies have been invited to contribute to this exercise. Officials from the Department of Finance remain in contact with their counterparts and all queries regarding this study should be directed to the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media.

In conclusion, I wish to reassure you that it is the my intention to continue to work with my Government colleagues to ensure that the implementation of the Action Planwill continue to have a positive impact on the affordability and availability of insurance for all groups, including sporting clubs and organisations.