Fine Gael TD for Offaly, John Clendennen, has welcomed the Government’s decision this afternoon not to accept the proposed 16.7% increase in general damages for personal injury claims, calling it “a victory for common sense” and a critical step in protecting households, businesses, and community organisations from further cost of living pressures.
“At a time when families and small businesses continue to face mounting cost-of-living challenges, any move that would drive up insurance premiums must be avoided, the decision by government today is the right call,” Deputy Clendennen said.
The proposal to increase general damages, brought forward by the Judicial Council, risked reversing the hard-won progress made in reducing claims costs and stabilising insurance premiums in recent years.
“I’ve consistently said that this proposed increase would have sent the wrong signal. It would have incentivised delay, increased litigation, and ultimately pushed premiums higher, all without delivering meaningful benefit,” he said.
“The decision to reject this increase allows space to continue addressing the real and systemic issues facing Ireland’s insurance landscape.”
Deputy Clendennen reaffirmed his commitment to seeking further delivery of reform in the insurance sector including transparency on settlements outside the formal court system, and a further enhanced role for the Personal Injuries Resolution Board
“The momentum for insurance reform must not be lost. Today’s decision gives us breathing room. Now we must use it to double down on building robustness in our insurance market in terms of fairness, affordability, transparency, and sustainability for everyone,” Clendennen concluded.
ENDS
For further information, please contact:
Office of John Clendennen TD
0876118883
[email protected]
