Companies must now justify up to 70% increase in car insurance premia across the market in Ireland.
Car Insurers in the Republic of Ireland are being openly challenged to explain to the Government and to consumers why premia for car insurance increased by on average 70% between 2013 and 2016. Recent published accounts for 2017 for the Insurance Companies show a significant increase in profits across the board challenging their assertions that the costs of car insurance was negatively impacted by the value of claims made in Ireland.
Reports in the Irish Independent today claim the increase in profits could amount of as much as a 1,300% increase from 2016. The Law Society of Ireland has also openly challenged the insurance companies to explain how their increase in profits can be regarded as anything other than a combined effort of the companies involved to systematically increase their premia without commercial justification. Whilst premia have reduced they remain at 50% above their level in 2008. The Insurance Federation of Ireland have claimed that car insurance was loss making up to 2017.