Fianna Fail presses for insurance investigation

Fianna Fail TDs have called for an Oireachtas investigation into motor insurance premiums

Fianna Fail TDs have called for an Oireachtas investigation into motor insurance premiums. TDs Mr Batt O'Keeffe and Mr Conor Lenihan said witnesses called before such a DIRT-style inquiry should be compelled to give evidence.

The row over motor insurance premiums and the profitability of younger drivers to insurance companies was discussed by the Fianna Fail parliamentary party yesterday. Sixteen deputies spoke and there were strong opinions expressed on the need for the Government to take whatever action was necessary, according to party chairman Dr Rory O'Hanlon.

The introduction of legislation was suggested, as well as the possibility of some form of community rating. The subject was raised following the publication in The Irish Times of the report from the Motor Insurance Advisory Board, the Government-backed body investigating motor insurance costs. The interim report found that - contrary to their stated position - motor insurers made profits on all categories of drivers except those under the age of 18.

Mr O'Keeffe and Mr Lenihan want the Oireachtas Joint Committee on Enterprise and Small Business to investigate the way in which the motor industry provides insurance quotes for younger people. Both wrote to committee chairman Mr Ivor Callely yesterday requesting an investigation and urging the committee to seek "compellability" powers in relation to documents and insurance industry executives. According to party sources, Fianna Fail deputies expressed deep unease on the issue because of the political ramifications of it not being addressed.

READ MORE

Mr O'Keeffe said the committee had heard evidence from the insurance industry just weeks ago. "It would appear that there is a difference between the evidence presented to the committee and the report that appeared in the newspaper." The Motor Insurance Advisory Board has set a deadline of the end of the week for the Irish Insurance Federation to disclose full information on premiums and claims. Senior board sources said yesterday that, if the committee was to set up its own investigation, it should take care to ask the industry for raw data.