Judges to review personal injury claim award levels in bid drive down high premium costs

Judges from next week will begin the process of reviewing personal injury claim award levels in a bid to help drive down high premium costs faced by consumers and businesses.

Junior Finance Minister Michael D'Arcy confirmed to the Dáil that a temporary group of judges would begin the process. An announcement will be made on the issue by the chief justice Frank Clarke, he said.

“I understand that there have been developments around the designation of judges to be appointed upon the formal establishment of the committee and I anticipate that the Chief Justice may have more to say on that matter next week.

“It is hoped that this, in turn, should allow the members-designate to commence their activities on an informal basis so as to progress as far as possible their work prior to formal establishment.”

There has been public outrage over soaring insurance levels for motorists, businesses and consumers in recent years. The insurance industry has blamed large amounts paid out of personal injury claims as the reason why costs to cover businesses and drivers are so high.

While the process of setting up a judicial council goes ahead to eventually establish new injury award levels, a temporary or designated group of judges will be chosen to begin the process of reforming what is known as the book of quantum. This sets out guidelines for particular injury award levels.

Sinn Féin's Pearse Doherty argued that the industry's defence about the high premiums was wrong.

“We hear claims that the cost of claims is pushing up premiums." he said.

The figures tell a different story. We know that according to published figures, the value of personal injury awards fell by 15% from 2014 to 2018. We know that in the same period, 55,000 fewer motor insurance claims were made and that during the same period, motor insurance premiums went up by 45%.

Fianna Fáil's Michael McGrath highlighted how insurance cover was still a problem.

"Cork BMX Club has had to cancel an event because Cork City Council, which was to host the event, was not satisfied with the insurance cover offered by the parent body of the club."