The SIMI has called for government action on the rising cost of car insurance premiums. It says that despite a reduction in the overall cost of motoring, since 2013 Motor Insurance Premiums have increased by 71.3%, with a rise approaching 37% in the past 12 months alone and further increases on the cards.

The society says this is a particularly serious issue in the case of younger drivers and those on lower incomes. SIMI Director General Alan Nolan commented, “Our experience of previous periods of high insurances costs suggest that car maintenance will reduce, increasing the risk of accidents and the incidence of uninsured driving is also likely to increase. In the past when we had similar problems the establishment of the Motor Insurance Advisory Board (MIAB) and its recommendations (2003) delivered significant reductions and improved the level of transparency in relation to the factors contributing to insurance costs.”

Alan says the SIMI is calling for the re-establishment of the MIAB as a matter of urgency. “We commend the work of the recent Oireachtas Committee hearings and the current CCPC investigation. However immediate wider-ranging action is urgently needed. In this regard while we await the re-establishment hopefully of the MIAB, the Society also feels that the CPCC’s Consumer section should undertake a general review, from consumers’ perspective, of motor insurance premiums seeking to highlight the issues, including underlying costs, which give rise to the current high level of motor insurance premiums and to make recommendations to the Minister in order to ameliorate the situation. Recent reviews of insurance costs in the UK, has seen their motor insurance premiums fall to levels that are now lower than three years ago."