Minister for Finance Paschal Donohoe has said that there is no “silver bullet” to solving the issue of high insurance premiums for marts.

In response to a parliamentary question from Labour TD Willie Penrose, the minister said: “Unfortunately, there is no single policy or legislative 'silver bullet' to immediately stem or reverse premium price rises.”

The minister said that he had not set up a report group to look into mart insurance but hoped that the continued work of the Cost of Insurance Working Group would help to implement change in the industry.

Personal injuries

“Undoubtedly the single most essential challenge which must be overcome if there is to be a sustainable reduction in insurance costs, particularly for small businesses, is to bring the levels of personal injury damages awarded in this country more in line with those awarded in other jurisdictions,” the minister said.

FBD, the main mart insurer, has previously said that fraudulent and exaggerated claims are driving up the cost of mart insurance.

He said that both he and the Minister of Justice Charlie Flanagan were working on a judicial council to outline guidelines for “appropriate general damages for various types of personal injury”.

Minister Donohoe added that he hoped the bill would be enacted by the summer.

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