Young Drivers being forced to pay for Government indecision

 Ireland pays out some of the highest compensation rewards in Europe.  This is the first issue which needs to be tackled. Below is a statement from September of last year. As you will see, this is not new information, this has been coming for a number of years. The government, and the insurance companies have been warned about it and yet have taken no preventative action. Instead they have allowed the situation to worsen and of course, put the cost of this inaction on the shoulders of young drivers.

We will be organising a national protest as soon a government is formed. We will need volunteers from each county possible to organise support and make sure local TD's support our action. Let us know via facebook, instagram, snapchat or email info@ireland-underground.com if you are in a position to help.

• Excessive Cost of Claims in Ireland Leading to Increases in Motor Premiums

• Average cost of whiplash in Ireland is €15k, average cost in the UK is €5k

• Other factors such as Setanta judgment will also impact premiums in Ireland

Issued Tuesday, 15 September, 2015.  Insurance Ireland, which represents 95% of the domestic and international based insurance sector in Ireland, held a briefing today to discuss the issues contributing to increases in premiums for customers, particularly in the area of motor insurance.  Insurance Ireland has identified the high cost of awards in court as one of the key factors driving up the cost of insurance premiums.  Other factors include legal costs, fraud and most recently, the High Court’s judgment in relation to Setanta Insurance. Insurance Ireland believes a range of measures are needed to stabilise pricing for consumers, particularly in the area of motor premiums.Speaking at today’s briefing, Kevin Thompson, CEO, Insurance Ireland, said “Motor claims costs are rising.  The level of awards being made in the Courts is at an all-time high.  The average High Court award in 2014 was up 34% on 2013 and the average Circuit Court award was up 14% on 2013.  In litigated cases, legal costs in Ireland account for more than 60% of the compensation awarded.”“Motor injury awards made by the Injuries Board averaged €21k in 2014, a very high average considering that 80% of motor injury claims are for whiplash” said Kevin Thompson, “The figures on whiplash alone are very stark; in Ireland the average award for whiplash is €15k, in the UK, the corresponding figure is €5k. The reality is that premiums are dictated by claims costs, and although the Irish market is very competitive, increases in the cost of claims will inevitably lead to increases in premiums.”The increasing cost of awards made in the Courts:The level of personal injury awards in Ireland is increasing as the following table shows:              High Court                 Circuit Court                  €                            €2014:      304,353                      13,5502013:      227,321                      11,9412012:      252,146                      11,4522011:     215,730                       12,3622010:     219,303                       12,662