Community groups threatened by rocketing insurance costs

Donegal Deputy Pearse Doherty has today renewed calls for the Government to take seriously the problem of rising insurance costs being experienced by community, voluntary and charitable groups across the county.

The Sinn Fein Finance Spokesperson’s comments come at time when more and more such community-based organisations are reporting that they face potential closure should the problem go unresolved.

Deputy Doherty said he has been contacted by many different community, voluntary and charitable groups and organisations expressing deep concern over the rising costs of insurance cover. The concerns have grown in the last number of months, he said.

Deputy Doherty said: “We’re hearing more and more stories from hard-pressed charities, voluntary groups, GAA and sports clubs all of whom are stating that they cannot afford the cost of their insurance premiums.

“This is obviously very troubling particularly when you consider the kind of tremendous and positive work being done in communities by many of these groups thanks to their dedicated members and volunteers.

“And while I welcomed the raids which took place last year on the offices of a number of insurance providers by the relevant industry oversight bodies as part of investigations into price signalling or price fixing within the insurance sector here, there is still much work to be done by Government if we are to truly get to grips with this problem.

“Because clearly the Government has been slow to act in this regard, and this is why I was happy that legislation which I drafted, namely the Central Bank and Financial Services Authority of Ireland (Amendment) Bill was enacted as it was a measure introduced to provide additional protection to consumers of insurance and financial products.

“However, there is still much work to be done if we want to see premiums come down and more fairness for the consumer, including the countless community, voluntary and charitable groups now under pressure as a result of rising premiums.

“This is why I intend to raise this matter with the Minister once the Dáil reconvenes next week and to seek clarity in respect of the work currently being down by government to examine this issue more closely.”