Treacy Announces Abolition of Supervision Fees for Irish Branches of Insurers Supervised in Other E.U. States

Mr. Noel Treacy, T.D., Minister for Science, Technology and Commerce, has today (Wednesday 10th May, 2000) announced that supervision fees paid by the Irish branches of E.U. insurance companies are to be abolished.

“This measure brings Irish practice into line with that in most other E.U. Member States”, the Minister said. “It also removes a disincentive for E.U. insurers wishing to set up Branches in Ireland to serve the Irish public”. The Irish Branches of Insurers based in other Member States are already supervised by the authorities in their home Member State, in accordance with E.U. legislation.

“I see increased competition in the Irish market as an important contribution to keeping insurance costs under control,” Minister Treacy said. “I am continuously working on other important measures, which I am confident will benefit the insurance consumer”.

The fee abolition takes effect on 10th May, in accordance with the Insurance (Fees) (Amendment) Order 2000, which has been signed by the Minister.

Supervision fees will continue to be paid by insurance companies that have their head offices in Ireland, as well as by branches of insurers from outside the European Economic Area .

The Supervision Fees cover the costs incurred by the Insurance Division of the Department of Enterprise, Trade and Employment in overseeing the activities of insurance companies based in Ireland (including those based in the IFSC). E.U. Member States plus Norway, Iceland and Liechtenstein