Minister bids to tackle car insurance increases

With motor insurance prices now 16% higher than they were 12 months ago, Transport Minister Paschal Donohoe says he hopes measures to reduce road deaths and injuries will lead to a drop in the premiums being faced by motorists.

However, industry experts have predicted that every motorist opening their insurance renewal premium this year is going to see an increase of 15%-20% in the cost of their cover — and the number of accidents is responsible for only a small part of that rise.

Mr Donohoe, in answer to a parliamentary question from Independent TD Noel Grealish, said he was concerned at the recent rise in insurance premiums, but pointed out that the cost is still more than 15% below the levels of 2003.