Insurance company profits up 26%

Insurance companies made €1.22bn profit last year on motor, property and liability premiums, it was revealed today.

The figure was up 15% on the previous year, according to the Financial Regulator’s latest report.

Motor insurance profits surged by 26% to €418m, while the cost of claims incurred dropped from €1.1bn on the previous year to €921m.

The Irish Insurance Federation (IIF) immediately welcomed the report as good news for both shareholders and policyholders.

It claimed motor premiums had been slashed by 45% on average over the past three years.

“Can the same be said of the price of any other products or services in the Irish market?” said IIF chief executive Michael Kemp.

“Indeed, since June 1992, doctors’ fees have climbed by 161%, a pint of stout by 78%, electricity by 60% and natural gas by 50%, according to CSO data.”