There has been a broad welcome by business groups towards a Government report on tackling the high cost of employer and public liability insurance, writes Pádraig Hoare.
Financial Services and Insurance Minister, Michael D’Arcy said the Cost of Insurance Working Group report (CIWG) makes 15 recommendations with 29 associated actions to be carried out.
The report, which was commissioned following a similar one to examine motor insurance premiums, said there should be a review of the level of damages in personal injury cases.
It urged the Law Reform Commission to develop “constitutionally sound legislation to delimit or cap the amounts of damages” for personal injuries.
It said tackling fraudulent or exaggerated claims had to be improved, while better training should be given to judges when considering damages in personal injury cases.
Ibec said it was “imperative” that the “significant burden” of employer and public liability insurance was made more competitive. Chambers Ireland chief executive Ian Talbot said businesses need to see progress on reducing insurance costs “as soon as possible”.
“This is an urgent matter for Irish businesses of all sizes and across all sectors as the cost of insurance has a substantial impact on competitiveness in both domestic and international markets,” he said.
Fianna Fáil’s Michael McGrath said the report was a “long time coming” and that its implementation was key.
Brokers Ireland called the report an “important milestone” but said there is still a long way to go “in terms of reducing volatility and enabling businesses to have greater certainty around what is one of the biggest costs of doing business.”