Motorists are being unfairly burdened at a time of intense financial pressure.
Richard O'Donoghue TD has sharply criticised the Government for fuelling rising motor insurance costs, warning that motorists are being unfairly burdened at a time of intense financial pressure.
The latest Central Bank NCID Private Motor Insurance Mid-Year 2024 Report shows that average premiums surged by 9% in the first six months of 2024 alone — a rise O'Donoghue calls “deeply alarming but sadly unsurprising” to anyone who has tried to renew their policy in recent months.
"Motorists are already being squeezed by inflation, rising fuel costs, and the sheer cost of keeping a car on the road. Now the Government is entertaining proposals that will drive insurance premiums up even further. It's madness," Deputy O'Donoghue said.
The report cites inflation and escalating vehicle repair costs as key drivers of premium hikes. However, O'Donoghue warns that the situation will worsen dramatically if the Government moves ahead with a proposed 17% increase in personal injury awards — a move currently being considered by the Minister for Justice.
"Let’s be clear: if these increased awards are signed off, every motorist in the country will end up paying for it. Businesses, sports clubs, farmers, community groups — they’ll all be hit. We need common sense, not more cost piled on working families and small organisations."
“This cannot be rubber-stamped behind closed doors. There are serious implications for affordability, fairness and access to insurance. It’s time for real reform — not more pain for the people already carrying the can,” said Deputy O'Donoghue.
He added that Ireland still has some of the highest injury awards in Europe and called for greater transparency and restraint in policymaking that affects every driver on the road.
