The private company whose report on dangerous practices in the car industry is the subject of an official investigation yesterday called for legislative changes to close a number of loopholes that would prevent cars that have been written off in serious crashes from reappearing on the roads.
Cartell.ie, a website that allows prospective car buyers to check the history of a second-hand car before they purchase it, said "legal loopholes" were leading to cars, classed by insurers as total write-offs and unfit to drive following crashes, being repaired and put back on the road.
The company said legislative changes were needed to close the loopholes. The department, the Garda, the Road Safety Authority (RSA) and the Revenue Commissioners are involved in an investigation into a claim made in a report by Cartell that total write-offs are being put back on the road.
The investigation, which was revealed in yesterday's Irish Times, was launched after Cartell forwarded a report on the practices to the RSA in July.
During research conducted earlier this year, Cartell discovered some cars were not only back on the road after being classed by one major insurer as total write-offs after crashes, but some vehicles had been re-taxed by new owners and had even passed the National Car Test (NCT).
Insurers have two classifications of write-off - total write-offs, where the car has been damaged beyond repair and should never be driven again for safety reasons and "beyond economic repair" write-offs, where the cost of repairing the vehicle is greater than the value of the car and not viable.
It is the responsibility of car owners to report total write-offs to the department, but many do not. Unlike in Northern Ireland and Britain, where vehicle owners face fines if they fail to notify the authorities, there are no fines in place to compel vehicle owners here to do so.
Similarly, insurers are not obliged to inform the department about write-offs, unless they take possession of the car after it is stolen. This is creating gaps on the State vehicle register, the National Vehicle File (NVF) at the department, allowing total write-offs to be repaired and returned to the road.
A spokesman for motor insurer Allianz said the only way to improve the situation was through a change in the legislation. He said the insurance industry kept its own record of total write-offs, separate to the NVF, but it would also require legislative changes for this to be made available to the department or the public.
"The onus is on the policyholder to make a declaration to the department. There needs to be legislation to bring about a better system," said the Allianz spokesman. He said that until there was a legislative change, there is "the potential for vehicles inappropriately finding themselves back on the road".
The number of total write-offs reappearing on Irish roads could be higher, given that Cartell's report, seen by The Irish Times, is based only a sample of 5,430 vehicles provided by one insurer.
