Ruairí Ó Murchú (Louth, Sinn Fein)
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46. To ask the Minister for Finance the short- to medium-term plans by Government to ensure reductions in premiums for insurance products, particularly public liability insurance; and if he will make a statement on the matter. [45385/24]

Bernard Durkan (Kildare North, Fine Gael)
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76. To ask the Minister for Finance the extent to which the insurance industry here remains competitive when compared with insurance costs throughout the European Union notwithstanding any national difference that may apply; the work in hand to reduce the cost of insurance across all sectors; and if he will make a statement on the matter. [46040/24]

Jack Chambers (Dublin West, Fianna Fail)
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I propose to take Questions Nos. 46 and 76 together.

Insurance reform is a priority for this Government, and is being delivered via the Action Plan for Insurance Reform. This whole-of-Government initiative is designed to ensure the affordability and accessibility of this key financial service. The vast bulk of objectives contained within the Action Plan are now complete, and the importance Government places upon it is demonstrated by the fact that it is overseen by a Cabinet Committee Sub-Group on Insurance Reform, chaired by the Tánaiste. The Action Plan for Insurance Reform has included significant achievements since 2020, most notably the rebalancing of the Duty of Care, reforming the Injuries Resolution Board and introducing the new Personal Injury Guidelines. These will benefit all insurance lines including, personal, commercial and liability cover. In addition, in part due to the more attractive operating environment here, new competitors such as OUTsurance, Revolut and Fastnet have entered the motor insurance market, enhancing competition and capacity. This key motor insurance segment best reflects the impact of our domestic reforms. There has been a reduction in premiums of the order of 40 percent since December 2016 in this country, versus a 20 percent increase across the euro area.

Minister of State Neale Richmond has held a number of meetings with the main insurers in the Irish market to set out the Government’s expectation that savings arising from this whole-of-Government reform agenda will be reflected via reduced premiums, as well as increased availability of cover. Indeed, we have recently seen a number of new entrants to the market with some existing incumbents expanding their risk appetite to new areas, including hospitality, SMEs, sports and leisure activities. This represents a vote of confidence in the Government’s reforms and the wider insurance market here. It should be noted that more widely, the global insurance market shows signs of hardening and that Government policy seeks to reform the domestic insurance environment to ensure that Ireland is well-placed to compete for international capital, thereby consolidating the gains made through the Government reform agenda.

In conclusion, I wish to reassure the Deputy that Government policy is firmly targeted on ensuring that the benefits arising from the entire reform programme are realised, for consumers, businesses, and community and voluntary groups across Ireland.

Ruairí Ó Murchú (Louth, Sinn Fein)
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47. To ask the Minister for Finance to provide an update on the work of the Office for the Promotion of Competition in the Insurance Market, particularly in relation to reducing the cost of public liability insurance; and if he will make a statement on the matter. [45386/24]

Jack Chambers (Dublin West, Fianna Fail)
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Insurance reform is a key priority for this Government and is being delivered via the Action Plan for Insurance Reform. The latest Implementation Report demonstrates that significant progress has been made, with 95 percent of the actions contained in the Action Plan now either delivered or initiated.

The establishment of the Office to Promote Competition in the Insurance Market is a Programme for Government commitment. Chaired by Minister of State Richmond, its aims are to help expand the risk appetite of existing insurers and explore opportunities for new market entrants. Since its establishment, the Office has played a role in helping to encourage the availability of insurance cover including for various “pinch-point” sectors including equestrian activities, inflatable hire, and childcare. Through leveraging the Government's insurance reform agenda, the Office has successfully helped facilitate the availability of insurance in previously challenging areas, in turn contributing to a more competitive market.

This collaborative approach involves connecting groups facing insurance challenges with relevant stakeholders and separately engaging with IDA Ireland to help attract new insurers to the Irish market. We have seen encouraging signs of heightened competition in the market recently, with new entrants OUTsurance, Revolut and Fastnet offering further choice and competition to consumers.

In addition, Minister Richmond has chaired a number of insurance roundtables with sectoral stakeholders, and has received positive feedback on increasing international interest in the Irish market. The Deputy will be interested to know that some participants at the recent Brokers roundtable noted a decline in insurance rates and an increase in available capacity. This is a sign that the Government’s reform agenda is having the desired effect. In tandem with this, the Office has observed an increase in Managing General Agent activity within the market, which points towards a growing specialisation and a competitive environment for niche areas which had traditionally sought cover from overseas.

As well as the above, Minister Richmond has met with the main insurers in the State on a number of occasions in his capacity as Chair of the Office and impressed upon them the need to pass on savings achieved through the reform agenda in the form of reduced premiums and expanded risk appetite. At these meetings, he has received positive feedback on the expansion of product lines, improving risk appetite, the implementation of the Government reform agenda, and the regulatory environment.

In conclusion, I wish to assure the Deputy of my intention to continue to work closely with my Government colleagues to ensure further implementation of the Action Plan which, in tandem with the work of the Office to Promote Competition, should have a positive impact on the affordability and availability of insurance for all consumers.