FBD Insurance, which currently insures more than 50 marts in Ireland, has told the Irish Farmers Journal mart insurance will remain "stubbornly high", until there is a change in the frequency and severity of accidents .

A spokesperson said: "The operating environment for marts has changed significantly in recent times. Less docile animals are being presented for sale as part of a changing livestock mix in Ireland and this combined with the age profile of some mart patrons presents a very challenging environment.

“The ability for marts to invest in critical infrastructure to increase safety and reduce the risk of injury has also been affected in many cases by reduced trading volumes and the current challenged commodity prices.

“Serious life changing accidents can and do occur at marts and FBD has supported companies and claimants with the financial issues arising from these injuries,” the spokesperson said.

Marts have been and continue to be a loss-making sector for the company, with claims in marts equating to 144% of the premia charged from 2013 to the third quarter of 2018.

FBD said that this does not include the cost of managing claims, the cost of sales and staff, and the cost of risk management for this sector.

“Due to the severity of the injuries in marts, the average settlement takes longer than average, further adding to legal fees and other costs in Ireland’s inflated claims environment. We have also seen instances where mart management have exposed employees and the public to practices that the courts have deemed negligent, further increasing the court awards.

“Insurance works on the premise that the premiums of the many pay for the claims of the few. And unfortunately until there is a change in the frequency and severity of accidents in marts, mart premia will remain stubbornly high.”

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