Mr Noel Treacy, T.D., Minister for Science, Technology and Commerce, has today (Friday 2nd February, 2001) announced a new package of measures, designed to ensure that only reputable reinsurance companies, can operate in Ireland.

"The Insurance Act, 2000, and the Regulations made under it, should ensure that only reputable reinsurance companies can operate in Ireland," Minister Treacy said. "It is vitally important that Ireland’s reputation as a high-quality international financial centre is fully protected and enhanced".

The main features of the new package of measures are:

• A requirement that all reinsurance companies provide the Department of Enterprise, Trade and Employment with full details of their activities, in a statutorily-prescribed format, which must be kept up to date;
• Intensified scrutiny of applications to the Companies Registration Office for registration as a reinsurance company;
• Power for the Minister, to order a company to cease writing reinsurance if he does not consider it qualified to do so; and
• Power for the Minister to introduce, by Ministerial Order, a formal system of supervision of reinsurance companies, similar to the one, that applies to insurance companies, should this be considered necessary to protect Ireland’s long-standing reputation.

"I believe that this package of measures, strikes the right balance between protecting Ireland’s reputation and encouraging the continued growth of the Reinsurance Industry", Minister Treacy said. "We will continue to maintain close contact with the Industry, on the implementation of these measures", concluded Minister Treacy.

(Press release available on the Dept’s website www.djei.ie)