Motor insurance industry to be investigated for premium hikes

It is hoped an investigation into the motor insurance industry will lead to reduced premiums for drivers.

The Competition Commission is investigating whether senior insurance industry players may have signaled premium rises to their competitors.

The body says it will take action to stop anti-competitive practices, if necessary.

Fianna Fáil's Transport spokesman Robert Troy says its time we got to the bottom of the issue: A lot of people who have faced huge hikes in the cost of insurance have never had any claims and have no penalty points.

"So there is some underlying factor that is driving up the cost of premiums, we have to get to the bottom of that, we have to ensure that we return to a normal insurance market where people are paying a fair premium on an annual basis."