Rising insurance costs are forcing businesses to close.
Fianna Fáil Senator, Robbie Gallagher has raised the matter of rising insurance costs in the Seanad. He was speaking following the closure of several businesses in the Cavan-Monaghan area as a consequence of rising insurance premiums.
He commented, “Rising insurance costs are seeing businesses, community clubs and fairs, marts, and other public facing businesses close their doors. It is a crisis that the government seem to be doing nothing to solve.
“Businesses like activity centres and petting farms have already closed due to high insurance costs. One local business, a petting farm and visitor centre in Killinkere, Co Cavan, closed last week due to what he described as "compo-culture gone mad". The only quote that the owner managed to get from an insurance broker was for €11,000. He had invested over €200,000 in his business premises over the years. When he initially set out, his insurance premium was just €700. This is just one of many examples of businesses being forced to close their doors.
“Fianna Fáil have put forward tangible solutions. They include the Civil Liability and Courts (Amendment) Bill 2019 which has gone straight to Committee stage. This Fianna Fáil Bill will ensure that those who bring fraudulent claims will have to pay the legal expenses for the defendant. While it is in the remit of the courts to award legal costs, it does not necessarily mean that this happens in reality. The Bill also increases the fine that a District Court can hand out to €5,000.
“We need substantive solutions and actions. The government are clearly not doing this. I am calling on the Minister for State with responsibility for Financial Services and Insurance to lay down exactly what is being done because, day to day, businesses are still closing down due to increasing premiums,” concluded Senator Gallagher.