Minister Martin responds to High Court Judgement

Minister for Enterprise, Trade and Employment, Michéal Martin noted today’s High Court decision in relation to the Personal Injuries Assessment Board. The Minister intends to examine the judgment in detail and remains committed to the PIAB objectives of reducing the cost of delivery of compensation to victims of accidents and to reducing the time taken to process claims.

PIAB does not preclude claimants from using solicitors. It has been PIAB’s policy to provide assistance to claimant’s to process their claims and to send copies of correspondence to whoever the claimants wishes (including solicitors), so that all parties are fully aware of progress in the case at all stages.

The Governments Insurance Reform Programme has already led to significant reductions in the cost of insurance particularly motor insurance. CSO Consumer Price Index statistics show that there was a reduction of 20% in motorcar insurance between the months of April 2002 and November 2004.

The operation of the PIAB, a key element of the Government Insurance Reform Programme, supports a move towards co-operation in the resolution of claims which result from straight forward accidents.

Minister Martin said “We must never lose sight of the position of the genuine injured party who research shows waits six times longer in this country than in England to receive compensation to which they are entitled. That adversarial process also adds on average up to 50% to every euro paid in compensation. The overhead cost and unnecessary delay are the two targets of the PIAB, resolution of which will represent a win-win solution for both claimants and premium paying policy holders, who ultimately bear the costs.”

Minister Martin said “It is not the policy of the Government’s Insurance Reform Programme to reduce the amount of compensation which is due to claimants and with the aid of the Book of Quantum it is intended that claimants, in the PIAB process will continue to receive compensation at a level equal to that awarded before the establishment of PIAB.”

ENDS/ETE 1305

25^th January 2005