Fianna Fáil TD for Offaly Barry Cowen has called on the Government to take urgent action to address rising motor insurance costs.
Deputy Cowen made the comments after raising the issue with Labour Leader Joan Burton during Leader’s Questions in the Dáil.
“The cost of car insurance jumped by 31% over the last twelve months, and industry experts are anticipating a further 25% rise in 2016. This effectively means that insurance holders who are currently paying a premium of €450 can expect their bill to increase to €600 when they are asked to renew their policies,” said Deputy Cowen.
“These increases are unsustainable. The Government is talking up the economic recovery, but the massive spike in motor insurance is the clearest example yet of how household bills are rising while wages remain stagnant. Families are buckling under the pressure of rising insurance, electricity and heating costs.
“I’m calling on the Government to re-establish the Motor Insurance Advisory Board (MIAB). When MIAB was in place in the past insurance costs rose by 40% over an 11-year period. Without it costs are expected to rise by over 50% in a two year period.
“MIAB has an important role to play in keeping costs down and protecting consumers. It must be put back in place to help stop soaring motor insurance costs,” said Deputy Cowen.