Motorists to be hit with even higher premiums

Motorists are to be hit with even higher insurance costs this year with premium hikes of up to 15% predicted on the back of huge increases last year.

Insurer FBD, which made an €85m loss in 2015, warned the industry still had not increased rates sufficiently despite a 31% rise in the cost of motor cover last year.

The spike in premiums — which earlier this year prompted a government review into the industry — seems set to continue, with FBD predicting price hikes on its motor policies of between 10% and 15%.