Insurance body says cost hikes due to personal injuries

THE Irish Insurance Federation (IIF) has moved to explain the spiralling costs of premiums saying a significant hike in personal injury damages is putting pressure on costs.

It said Ireland has higher compensation levels for personal injury than most other countries and these differences have to be reflected in the cost of motor and liability insurance.

“Any significant upward movement in claims costs has to be reflected in the premiums that make up the lion’s share of insurers’ income – even more so now when investment returns are low or even negative,” said IIF president, Brian Forrester.