Consumers pay €236m over Quinn Insurance collapse

Consumers have paid more than €236m in additional levies over the past four years as a result of the collapse of Quinn Insurance, and are set for more than a decade of further financial pain before the cost will be fully covered.

Customers have been forking out to cover the cost of Quinn’s demise since 2012 when a 2% levy on all non-life insurance premiums was introduced.

The funds are paid into the Insurance Compensation Fund (ICF).

Despite the huge outlay already taken from consumers’ pockets, a further €912m of the €1.15bn total cost remains to be paid.

At the current rate of payment, the levy will remain in place for another 14 years.

Michael McGrath, the Fianna Fáil finance spokesman, described the continuation of the levy as “another kick in the teeth for policyholders”.

Increases in the cost of motor insurance which have climbed almost 30% already this year show no signs of slowing.

Brokers are predicting further increases of up to 15% next year as under-pressure insurers continue to hike premiums.