Written answers

Tuesday, 16 April 2024

Department of Housing, Planning, and Local Government

Insurance Coverage

Photo of Paul MurphyPaul Murphy (Dublin South West, RISE)
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388. To ask the Minister for Housing, Planning, and Local Government what actions are being taken to ensure that owner management companies are not faced with punitive insurance cost hikes as a consequence of discovering construction defects in apartments or duplexes. [16049/24]

Photo of Darragh O'BrienDarragh O'Brien (Dublin Fingal, Fianna Fail)
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My Department is currently, as a matter of priority, preparing legislation to put in place on a statutory basis, a remediation scheme for owners of certain apartments affected by fire safety, water ingress and structural defects. This legislation will establish supports for the remediation of these defects in purpose-built apartment buildings, including duplexes, constructed between 1991 and 2013.

Pending the introduction of the statutory scheme, an Interim Remediation Scheme for the funding of emergency fire safety defect works in apartments and duplexes has been in place since December 2023. The Scheme, which is being administered by the Housing Agency on a nationwide basis, is open to applications from apartment Owner Management Companies (OMCs) via the Housing Agency’s website.

The Interim Scheme was put into place following extensive engagement with homeowner representative groups by both myself and officials from my Department and the Housing Agency. This engagement remains ongoing. I am aware of the insurance issue raised by the Deputy and I arranged a meeting with Insurance Ireland recently to discuss this matter. I raised the specific issue highlighted by the Deputy. Insurance Ireland confirmed to me the industry position that properties once remediated and certified will be assessed, underwritten and insured as normal. I brought their attention to a very small number of cases where OMCs appeared to be having issues regarding cover prior to works being carried out. They committed to looking into the matter further with their members with a view to ensuring that such situations were avoided given the Government's commitment under the Scheme. I understand that this work is ongoing and my Department remains in close contact with the sector on this important matter.

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