Insurance companies are not passing on savings to consumers.
That's according to the Alliance For Insurance Reform.
It's after new data suggests payouts for personal injury claims have fallen by an average of 50%
That's since April's new guidelines.
Almost 8 in 10 awards since then were for less than €15,000, compared to 3 in 10 last year.
We are pleased with the introduction of personal injury guidelines.
But we have yet to see if they will translate as a 50% reduction in premiums.
We urgently need more insurance product & competition among the sector.
Without this what we have is commonly called a ‘monopoly’ https://t.co/6uYdIMnhlc— ISACS (@ISACSIreland) July 6, 2021
If Costs Are Going Down, So Should Premiums
Solicitor Stuart Gilhooly doesn't believe insurance companies will pass on substantial savings.
"If there's a 50% cut in damages, then there should be a corresponding cut in premiums."
"Certainly in the nature of about 30%."
"So if we're not seeing that sort of level then there must be serious question marks as to why."
