Ruairí Ó Murchú (Louth, Sinn Fein)
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79. To ask the Minister for Finance his Department’s latest engagement with insurance companies and new insurance companies regarding the high cost of public liability insurance; and if he will make a statement on the matter. [16110/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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The Government remains actively engaged with the insurance industry to address the cost of public liability insurance. While I, as Minister for Finance, cannot intervene directly in insurance pricing under the EU’s Solvency II Directive, significant reforms are being implemented to foster competition and reduce costs.

Over the past two months, the Minister of State with special responsibility for Financial Services, Credit Unions and Insurance, Robert Troy, has been engaging with Insurance Ireland and the CEOs of the major insurance companies in the State in order to impress upon them the necessity of passing on savings arising from the reform agenda, in the form of reduced premiums.

Also important in this area is the work of the Office to Promote Competition in the Insurance Market (OPCIM), which Minister of State Troy will now chair as part of his ministerial duties. The OPCIM has played a central role in engaging with both existing insurers and new market entrants to broaden their risk appetite. This has led to increased availability of cover for high-risk sectors such as equestrian activities, adventure tourism, and childcare. Notably, new providers like OUTsurance, Revolut, and Fastnet have entered the market, contributing to greater competition. The insurance sector has also seen greater activity from Managing General Agents, introducing specialised expertise into the market. This, combined with growing competition in the brokerage sector, has improved access to niche insurance products and reduced premiums.

The Government’s broader insurance reform agenda, including the rebalancing of the Duty of Care, the reform of the Injuries Resolution Board, and the introduction of new Personal Injuries Guidelines, has also helped to stabilise the market. The latest data from the National Claims Information Database (NCID) shows that 56 percent of business insurance policies had premiums of less than €1,000, with 90 percent under €5,000 in 2023. Work is ongoing with the Central Bank of Ireland to facilitate faster data release from the NCID to ensure that the data collected is readily available to support market transparency.

I wish to assure the Deputy that the Government remains fully committed to the continued reform of the insurance sector, ensuring reforms result in lower costs and greater availability of public liability insurance for businesses and community organisations across Ireland. The Government has also committed to publish a new Action Plan for Insurance Reform, focused on encouraging further competition in the market and working with stakeholders to enhance transparency and affordability across all types of insurance, building on the significant progress made under the previous action plan.