Insurance compensation fund withdrawals
No claims were made on the fund in 1983, so no withdrawals were needed; the Minister said the administrator had made no demands to date. A 2 per cent levy on non-life insurers was set for 1984, expected to yield £10 million.
asked the Minister for Industry, Trade, Commerce and Tourism the estimated withdrawals that will be necessary from the insurance compensation fund to deal with claims made on it in 1983; and the impact that these withdrawals will have on all non-life insurance policy-holders.
Comment on this
No claims were made upon the insurance compensation fund during 1983 and, accordingly, no withdrawals was necessary in that period; the second part of the question does not therefore arise.
Comment on this
This fund will have to bear the burden of the money required to accommodate the Insurance (No. 2) Act, 1983. Would the Minister indicate from the estimates available to him what the expected withdrawal will be to accommodate the named company in the previous question?
Comment on this
I specifically answered the question which was asked. There were no claims made on the insurance compensation fund and, therefore, there were no withdrawals. That includes the company to which the Deputy referred.
Comment on this
A supplementary must arise directly as a result of the reply to the question. It was a straightforward question and answer.
Comment on this
It is expected, since the Government took major legislative steps with regard to the Insurance (No. 2) Act, 1983, that there will be a call on the funds. To date the administrator has made no demands but the 2 per cent levy has been determined for non-life insurers in 1984 and will be paid into that fund.
Comment on this
Would the Minister indicated what the yield will be from the 2 per cent levy for either 1983 or 1984?