Address by Mr. Noel Treacy T.D.,Minister for Science, Technology and Commerce,at the Launch of the Irish Insurance Federation (IIF) Websitein Buswell’s Hotel, Dublin 2,on Wednesday, 18th October, 2000

I am delighted to be here today to perform the official launch of the Irish Insurance Federation’s new website.

The internet is recognised as a fundamental element of growth in business and community development today. It has changed forever the way in which a huge range of businesses now perceives their customers. More and more businesses are establishing web-sites to promote their products and services and to create networks and clustering opportunities for businesses to inter-trade at national and international levels.

This Government values the very important role that the insurance industry plays in the Irish economy. Last year insurance company employment exceeded 11,000 people. This was an increase of over 10% on the previous year. Thousands more are employed in broking and other support services. The protection and investment services provided to hundreds of thousands of personal and business customers are indispensable contributions to our modern economy. Investments, by the Insurance Federation’s members and these representing life policyholders funds and non-life technical reserves, reached over £33 billion – an increase of 19% on the previous year. Insurer’s should feel proud of their obvious contribution to the economic and social wealth of this country.

I would like at this stage to offer my personal thanks to your Federation for their constructive input to deliberations on the many policy issues being considered by our Insurance Division. Many of the insurance market issues being addressed by our Department of Enterprise, Trade & Employment are being handled by means of a broad consultative approach in order to achieve the highest possible level of agreement. This approach may at times be slow but I am sure that everybody agrees that it contributes to favourable arrangements while at the same time fostering positive relations between all sides, in the best interests of Ireland and its people.

One of the principal objectives of the Irish Insurance Federation is to inform the public and decision makers about the positive role played by the insurance industry in the Irish economy.

I am confident that the introduction of this website will provide a very time efficient way of delivering this service. I am pleased to note that there are a number of leaflets and policy documents in ‘pdf’ format on the website. The fact that these will now be downloadable will prove very cost effective to your Federation. I am pleased to note that the information requirement of the media, the insurance industry and most importantly the consumers are all addressed on different pages on the website.

The site itself is quite interactive with provision for opinions surveys and a facility whereby consumers can send details of either an enquiry or a complaint. Another welcome feature of the site is the continually updated newsletter which will provide that the industry and consumer alike will be kept updated on insurance issues from the convenience of their own offices or homes. These features will I hope ensure that the website will evolve over time and prove popular and reliable with many people, throughout this country.

The process of internet development is taken to its logical conclusion in e-commerce through direct sales and payment transactions in a wide variety of retail and service businesses.

E-commerce is an invaluable business tool which can offer new opportunities for many industries. The Internet is recognised as a fundamental element of growth in business and community development today. Recent U.S. industry analysis indicates that projected business over the Internet will be worth £80 billion by the end of this year alone.

Although, the Federation’s website is first and foremost an information portal and cannot facilitate e-commerce, I am confident that it will be viewed by its members as a very suitable platform on which to meet this very important goal.

The challenge facing all of us is to co-ordinate such activity in order to create greater added value for your industry and our economy. In many respects, I’m afraid, this will mean having to teach a few old dogs a lot of new tricks!

Ladies and Gentlemen, I will conclude on that note. Once again thank you for your kind invitation, I am pleased to be here and I thank you for your kind attention.