[Sinn Fein]

21st June 2002

Call for State Insurance Company

Morgan demands that Fianna Fáil keep election promises

Louth Sinn Fein TD Arthur Morgan has called on the government to establish a State car insurance corporation to ensure that car insurance is affordable and available to every resident in the State regardless of age, sex or marital status. Deputy Morgan also demanded that Fianna Fáil keep the promises that many of its candidates made in relation to Insurance costs during the recent election.

Deputy Morgan said:

``The practice of Commercial Insurers only insuring those they deem to be almost risk free or imposing exhorbitant premiums on young drivers is unacceptable. This practice only encourages people to drive without insurance thereby becoming a liability on the state if involved in a serious accident where an injured party has to sue the state to be compensated.

``Fianna Fáil candidates across the state promised during the recent election campaign that if returned to government their party would address this issue. That party must keep that promise.

``The State should take car insurance out of the private sector and establish its own Insurance Corporation modelled on existing State Companies in North America and New Zealand. These companies have proved their viability and actually contribute to better road safety through involvement in every aspect of road awareness projects.

``In setting premiums they do not discriminate on the basis of age, sex or marital status and teenage children can be added to their parents insurance normally at no extra cost. They also offer extra discounts for senior citizens with clean driving records.

``It is unacceptable that young people are being discriminated against when it comes to car insurance thereby forcing many of them to become uninsured drivers and an even bigger threat to other road users.''

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