Vol. 526 No. 4
90 Mr. Callely asked the Tánaiste and Minister for Enterprise, Trade and Employment if, further to Parliamentary Question No. 68 of 13 June 2000 on issues associated with the cost of motor insurance for young drivers', he is empowered to put in place certain initiatives to encourage premium discounts; the type of initiatives and other issues that would reduce the frequency of accidents; and if she will make a statement on the matter. [26434/00]
Under EU law, neither the Tánaiste nor I, nor our Department or the Government, has any statutory control over the premiums levied by insurance companies, nor do we have the right to influence the criteria used for covering risk.
The Department of Enterprise, Trade and Employment is in no doubt that the focus of any initiatives aimed at reducing the cost of motor insurance for young drivers must be on reducing the frequency of accidents. The Deloitte & Touche report on insurance costs in Ireland found that motorists in the 17 to 24 year old age group were responsible for over three and a half times the total average claims cost incurred for motorists in the 36 to 40 age group. Furthermore, the report noted that the average cost of an insurance claim for 17 to 24 year old drivers was twice that for the 36 to 40 age group.
The initiatives are as set out previously. The Irish Insurance Federation, in conjunction with the driving instructors register, has introduced a scheme of insurance premium discounts for the young driver, on completion of a required number of driving lessons. The National Safety Council, in co-operation with the gardaí, continue to promote anti-speeding and anti-drink driving media campaigns.
My re-establishment of the Motor Insurance Advisory Board is aimed at providing us with information and advice on trends in motor insurance costs and with policy recommendations for addressing these costs.
Further measures can be expected as a result of the work of the special working group set up to consider the establishment of a personal injuries tribunal. On the basis of that group's second report, it is hoped to bring proposals to Government before Christmas with the objective of putting arrangements in place to reduce the costs of delivering personal injury compensation.
