Reduction in personal injuries awards must result in lower insurance premiums - Pearse Doherty TD
Sinn Féin spokesperson on Finance Pearse Doherty TD has called on the insurance industry to slash premiums as figures released by the Personal Injuries Assessment Board (PIAB) show a large drop in personal injuries awards.
The Donegal TD called on the government to support his Judicial Council (Amendment) Bill which will hold insurance companies to account and pressure them to reduce prices in line with the reduced cost of claims.
Speaking today, the Donegal TD said:
“I welcome the annual report from the PIAB and the confirmation that average levels of awards have reduced since the introduction of Personal Injuries Guidelines in April 2021.
“The report shows that since their introduction, the average value of personal injury awards has fallen in all claim categories – including motor, public and employer liability.
“This will have led to a significant reduction in the cost of claims for insurance companies.
“This should also lead to a reduction in legal fees over time.
“These developments must now be met with an immediate reduction in insurance premiums that reflects, euro for euro, the reduction in personal injury awards.
“These guidelines were not introduced to prop up the profit margins of insurance companies but to drive down the insurance costs of motorists and businesses.
“My Judicial Council (Amendment) Bill would require the insurance industry to report to the Central Bank detailing how it has or hasn’t passed on these savings to customers. This would allow the Dáil to hold the industry to account and apply downward pressure on prices.
“While these recent figures from the PIAB show that the Personal Injuries Guidelines have driven down award levels, we need legislation such as this to ensure these savings are passed onto consumers.
"This is what we must now see and I would urge the government to get behind this without further delay.”