Department defends pace of insurance costs reform

Department defends pace of insurance costs reform
Minister of State, Michael D’Arcy.

By Pádraig Hoare

The Department of Finance has insisted “steady progress” is being made in implementing recommendations made in the Cost of Insurance Working Group (CIWG) report, following criticism that no “meaningful change” has occurred.

The department was responding after the Alliance For Insurance Reform group, which is made up of 20 business organisations, fiercely criticised the “negligible pace of progress” on the CIWG report.

The group also called for a statutory financial conduct authority to be established to supervise the insurance industry, which was “rolling in money”, on behalf of policy holders. It said despite the recommendations, there had been no reform of personal injury payouts.

Following the CIWG’s Motor Insurance Report in early 2017, it then published a report on employer and public liability in the context of the cost of business insurance in January, headed by Minister of State, Michael D’Arcy.

The report called for a review of damages in personal injuries as well as tackling fraud and exaggerated claims.

A spokeswoman for the department said: “Work on the CIWG is ongoing with steady progress being made in a number of areas. Minister D’Arcy recognises the importance of this work continuing apace and acknowledges the impact that high insurance premiums is having on the business sector.”

She said there was a “need for the insurance industry to be more robust in challenging dubious claims”.

Industry representative body Insurance Ireland said it agreed the pace of reform was not satisfactory. A spokesman said: “We fully agree that the pace of reform on tackling the cost of claims needs to be accelerated.

More in this Section

UK Ryanair flights take off as normal despite pilots’ strikeUK Ryanair flights take off as normal despite pilots’ strike

Here are the 9 steps for businesses to take to prepare for BrexitHere are the 9 steps for businesses to take to prepare for Brexit

Tesco ‘could ban brands’ with excessive plastic from shelvesTesco ‘could ban brands’ with excessive plastic from shelves

Around 50 SMEs see sales rise by more than €1m in four months in eBay pilot programmeAround 50 SMEs see sales rise by more than €1m in four months in eBay pilot programme


Lifestyle

A parent coach says parents are often the best judge of how to care for their baby – and explains how they can learn to have faith in their intuition.Ask an expert: How can I know what’s best for my baby?

We take a trip down memory lane and check out what happened on this day in years gone by by looking back at some Irish Examiner front pages and highlighting other events which went down in history across the world.August 23, 2019: A look back at what happened on this day in years gone by

RP O’Donnell says it is hard to find anywhere better than Boston to show your family a great time as he returns to a city he used to call homeA family friendly holiday guide to get the best out of beautiful Boston

Leslie Williams sampled the seafood at Cavistons in Dublin.Restaurant Review: Cavistons - Charming staff, the freshest fish, solid cooking

More From The Irish Examiner