Opposition slam 'woefully inept' Govt reponse to rising motor insurance premiums
Pressure has been placed on the Government to establish an independent task force to tackle the root causes of spiraling motor insurance premiums, .
Speaking in the Dáil this afternoon Fianna Fáil finance spokesman Micheal McGrath said the Government response so far is “not satisfactory, it is inadequate and it is woefully inept” and called for immediate action.
"The bottom line is that motorists have had enough of these unacceptable and unsustainable premium hikes," he said.
Tánaiste Frances Fitzgerald said the Government is "concerned" about costs adding that motor insurance is "a very important part of the household budget and the kind of increases we have seen have a serious impact".
She said Finance Minister Michael Noonan has has asked his officials to examine the factors which contribute to the increasing cost of insurance.
However, Mr McGrath said "concern from Government is no longer enough, motorists want action on the issue".
He called for the establishment of an independent task force which would be at "arms-length" from the Department.
He said this body should have an independent chair, terms of reference, a deadline, and said their task should be to examine and identify the root causes behind the level of increases we are witnessing in motor insurance premiums and, most important, to make recommendations as to what we can do to tackle the issue.
Mr McGrath said that a protest has been organised in Dublin on July 1.
"Thousands of cars will be in Dublin to make the point that people want action on the issue," he said.
He said there is "no silver bullet" to combat motor insurance costs which have increased by 60% since the beginning of 2014 and have have jumped by 35% in the past 12 months alone.
However, he added: "While the Government does not control the cost of premiums, it can influence many of the factors behind the level of increases we are witnessing."
