Insurance firms signalled price increases to reduce competition investigation alleges

CCPC allege insurance companies signalled price increases to each other

The investigation focuses on a practice of ‘price-signalling’. This occurs when businesses make their competitors aware that they intend to increase prices, in turn causing further price increases across the sector. File picture. 

Motor insurance companies engaged in anti-competitive practices over a 21-month period between 2015 and 2016, the preliminary findings of an investigation by the Competition and Consumer Protection Commission (CCPC) has alleged.

The alleged anti-competitive cooperation consisted of public announcements of future private motor insurance premium rises as well as other contacts between competitors, all of which reduced levels of competition between the parties.