October 2002

Insurance lobbyists welcome moves ... but

28 October 2002: MIJAG - the Motor Insurance Justice Action Group - has welcomed the announcements by the Government that it will implement in full the MIAB recommendations. But the young motorists lobby group ut would like to hear what is the ‘Plan B’ if there is no improvement in the situation.

MIJAG National Organiser Mick Murphy said it is likely that there will still be premiums of E5,000-E6,000 being paid by people under 25 at the end of this. “The 31% reduction that the Minister talks about would be cut in half by inflation,” he said. “15% of a E6,000 premium is still E5,100 and still many times the European average. Young drivers who are typically charged 8-10 times the average premium have good reasons to be worried about the pace of change.

MIJAG believes that no one with a clean driving record including beginners should have to pay over E1,000 for motor insurance. MIJAG also believes that the minister should if necessary bring in price controls now to keep Insurance Premiums under E1,000.

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- Bill Trapman