STATEMENT FROM MIBI ON ENTERPRISE INSURANCE
The Motor Insurers’ Bureau of Ireland (MIBI) is disappointed to learn that Enterprise Ireland has ceased trading. Enterprise Ireland had been a member of MIBI since 2013, having provided motor insurance to drivers throughout Ireland.
Speaking about the announcement, MIBI Chief Executive, Mr. David Fitzgerald said, “We are deeply disappointed for all those working in Enterprise Insurance, their policyholders and for all those who are looking to process claims via Enterprise Insurance. This news will be a cause of great concern and this is likely to be exacerbated by the confusion in the market about what will happen next. We understand how difficult this must be for all those involved.
“This announcement also has major implications for the wider motor insurance sector. Even before today the MIBI had been emphasising that a clearly defined process for handling business closures within the motor insurance sector was urgently required. No one wants to see more of the confusion and lack of clarity that has arisen in the case of Setanta Insurance.
“For that reason we believe it is essential that the Government looks to prioritise the necessary legislative changes that will be required to clear up the current uncertainty. The MIBI has consistently stated that the correct mechanism for handling all these claims is through the Insurance Compensation Fund. We have said that is what should happen with the claims relating to Setanta Insurance and we also believe that is the best mechanism in this case.
"We note the Department of Finance has today published the Review of the Framework for Motor Insurance in Ireland. That document also advocates that the coverage provided by the Insurance Compensation Fund is extended to handle these type of cases. To ensure this is urgently implemented, it is essential that discussions to finalise and formalise the final process are held. We are keen to work with the Department of Finance and the other relevant Government Departments to ensure a speedy and satisfactory solution is in place that allows for this case to be handled through the new mechanism and which will also prevent any more uncertainty occurring the future,” Mr. Fitzgerald concluded.
About The Motor Insurers Bureau of Ireland (MIBI)
The MIBI was established in 1955 by an Agreement between the Government and the companies underwriting motor insurance in Ireland for the purpose of compensating victims of road traffic accidents caused by uninsured and unidentified vehicles. All insurers underwriting motor insurance in Ireland are required to be members of the MIBI. The MIBI is funded entirely by motor insurance companies operating in Ireland and ultimately by premiums paid by all insured motorists. In the year ended December 31, 2015, the MIBI paid claims of €65m.
You can learn more by visiting www.mibi.ie