Ebene News – GB – Ending ‘price gouging’ by insurance clients could take a year longer, Dáil said

A Sinn Fà © in Bill in the Dáil aims to put an end to the “price hike” loyal insurance clients

A move to ban double pricing when insurance companies impose a ‘loyalty penalty’ on customers who stay with the same supplier will be delayed for at least nine months while the government performs a more in-depth analysis of the complex issues involved

Sinn Fà © in Finance spokesman Pearse Doherty introduced a bill in the Dáil to end the “price hike” consumers for whom existing customers pay a higher premium than new customers despite similar risk profiles

M Doherty, who has campaigned on the issue for nearly two years, said his insurance bill (restriction of differential pricing and profiling) was based on UK legislation which he said would ban insurance this year. practice of double pricing

A ban on this practice is expected to reduce premiums by up to 27% for owners who have renewed up to 10 times and up to 34% for motorists, and would benefit 77% auto insurance policies and 67% of home insurance policies

While the government will not oppose the legislation, it has called for the bill to be reviewed in nine months time – to allow for a more in-depth analysis of the complex issues involved following the release of the Central Bank’s final differential price report later this year

Finance Minister Paschal Donohoe said the Central Bank would issue a final report on the matter at the end of the year and it was appropriate that the independent regulator be allowed to complete this report

He also said precise comparisons should be made with action in other jurisdictions UK authorities had published proposals, but these are the subject of further comment followed by a policy statement with implementation next year, he said

The government is gravely concerned about the bill, he said, and the difficulties it could create for insurance companies to offer discounts or for the ability of new providers and suppliers to ‘insurance in the market or existing providers to provide coverage in areas where they have not previously covered

– This is a legitimate concern, – he said pointing to the childcare sector where only two insurers offered coverage

M Doherty said insurers in Ireland were ‘scamming’ their customers and charge consumers – prices much higher than the actual cost of their policies – Businesses identify potential renewing customers and charge them the highest possible price before being tempted to switch to a competitor

Instead of rewarding you for your loyalty, they increase your premium knowing that you are more likely to renew than to change This is the loyalty penalty…

He gave the example of Ray, who received a renewal quota for his car from Liberty Insurance for 1,420 â ?? ¬, but it was â ?? ¬ 680 when he got online for the exact same policy from the same provider â ?? ???? a price difference of 740 â ?? ¬, the â ???? loyalty bonusâ ????

The Central Bank investigated after filing a complaint and in December last year reported that double pricing affected more than seven in ten Irish policyholders

Over 20 states in the United States â ???? including New York, California and Florida â € “ banned the practice, and in Britain, the regulator found that in 2018, six million policyholders were overcharged a set of â ?? ¬14 billion

Under the provisions of the bill, customer renewal will no longer be artificially billed at high prices based on their likelihood of renewing, spending practices, economic background, or any other unrelated trait at risk

Labor finance spokesperson Ged Nash pointed out that only half of Irish consumers switch energy providers while less than one in four change insurance companies before 003 percent of customers have changed bank

He said clients do not change for many reasons, including time and difficulty keeping up with complex insurance policy offers

Social Democrats co-leader Róisín Shortall said: “the central bank is not consumer-oriented enough” and did not collect enough data on vulnerable customers, market concentration and market volatility

Beer Gardens minister mortifies old hacks amid ridiculously large leaks

Voices calling for zero-Covid grow louder but strategy not seen by government as viable

TD Work reminds rural self-employed that they have no monopoly on national affairs

The shoot is a bit like Who Wants To Be A Millionaire? when they phone a friend

Assurances, Dáil Éireann, Pearse Doherty, Sinn Féin, Ógra Shinn Féin, deputy

Ebene News – EN – Putting an end to the “overbidding” of policyholders could take a year to more, said Dáil

Source: https://www.irishtimes.com/news/politics/halting-price-gouging-of-insurance-customers-could-take-another-year-d%C3%A1il-told-1.4487464