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Dáil

Ceisteanna—Questions. Oral Answers. - PMPA Insurance Company.

asked the Minister for Industry, Trade, Commerce and Tourism whether he is aware of reports that between 10,000 and 15,000 drivers have ceased continuing their motor insurance contracts with the PMPA Insurance Company Ltd. Since an administrator was appointed to manage the affairs of the company and do not appear to have obtained motor insurance cover elsewhere; and if he will make a statement on the matter.

Comment on this
Edward Collins Mr. E. Collins Fine Gael

While I am aware of the reports referred to by the Deputy, I do not believe from the information available to me that the situation as alleged in the reports in question represents the position.

Comment on this

What means has the Minister at his disposal to indicate as incorrect the reports which have been published which say that 15,000 fewer motorists are now insured than before the PMPA went into administration?

Comment on this
Edward Collins Mr. E. Collins Fine Gael

My Department have made an investigation into this matter which indicates quite clearly that the number of policyholders of motor insurance has increased in 1983 over 1982 figures and it is projected that it will increase in 1984.

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Just to clarify the position, is the Minister aware that from a survey carried out by the Garda Síochána——

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Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

Please, Deputy, supplementary questions are for clarifying information already given by the Minister. If a Deputy asks is the Minister aware and then proceeds to give a lot of information, that is not a question in any shape or form.

Comment on this

I accept totally the Chair's ruling. I want to make this point, if I may. All the information published indicates that the present level of uninsured driving is something of the order of 25 per cent of all drivers. A report was published some short time ago——

Comment on this
Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

Deputy, please.

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I am merely asking the Minister to tell the House the published information which he has to show that all the reports which have been made public and the results of the Garda survey are incorrect. He has not given that information.

Comment on this
Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

That seems to be another question.

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I should like to put down a number of questions, if it is necessary.

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Edward Collins Mr. E. Collins Fine Gael

If I may respond to the Deputy, not particularly in relation to PMPA, the insurance industry is a fairly competitive one. Companies may increase the number of policyholders, or a number may not renew their policies. I am aware of that and it is generally acknowledged that there is an overall level of uninsured driving which is usually estimated to be around 10 per cent. I am also aware that the Garda are intensifying their surveillance in such cases. I am further aware that a number of cars have been taken off the road in recent years because of the general recession, or because the person no longer wants to continue driving. There is also the fact that people change their insurance companies. I am satisfied that in this case the Deputy is again over-emphasising and over-dramatising the matter.

Comment on this

Arising out of the Minister's reply to the effect that the number of policyholders in the PMPA increased in 1983 and was expected to increased again in 1984, does the Minister know the reason for that? Could it be attributed to the fact that motor policyholders in all companies bar the PMPA are subsidising the PMPA through the imposed levy? That being so, would the Minister indicate whether the administration system at present pertaining to the PMPA is likely to continue for an indefinite number of years, or for any particular period?

Comment on this
Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

That is a separate question.

Comment on this

It arises out of the Minister's reply that the number of policyholders was increasing.

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Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

This is clearly raising another matter, of whether the present arrangements with the PMPA will continue indefinitely.

Comment on this

One very brief question.

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It does not arise.

Comment on this
Edward Collins Mr. E. Collins Fine Gael

May I correct the statement made by Deputy Taylor? I did not specify the PMPA in my answer. I said that the number of policyholders generally had increased over 1982 and was expected to increase in 1984.

Comment on this

Oh, I see. In that case, what is the position in the PMPA, so far as the policyholders whom they cover are concerned?

Comment on this
Edward Collins Mr. E. Collins Fine Gael

I should not like to indicate any company's portfolio of policyholders. I think that would be most unfair.

Comment on this

Not even one which has a public subsidy?

Comment on this
Edward Collins Mr. E. Collins Fine Gael

May I add, for the Deputy's information, that the PMPA are, in fact, subject to the same levy as all other insurance companies.

Comment on this

Is there not a levy on other companies to subsidise the PMPA?

Comment on this
Thomas J. Fitzpatrick An Ceann Comhairle Fine Gael

Question No. 3.

Comment on this