Ireland has released a renewed Action Plan on Insurance Reform, introducing 26 measures — including 10 marked as priorities — intended to reduce premium costs and improve transparency, according to the Department of Finance.
The initiative runs through 2029 and involves coordination across finance, justice, and enterprise agencies.
A central element of the reform is expanding the authority and scope of the Injuries Resolution Board. The Department of Finance said limiting litigation, especially in motor insurance, is a top priority.
Data from the National Claims Information Database (NCID) indicates that litigated claims are 22 times more expensive and take twice as long to resolve compared to cases processed through the board.
The plan includes stronger support for resolving claims outside of court and introduces potential caps on legal fees.
The government said inflated legal costs undermine affordability and generate instability for consumers and businesses alike. The goal is to ensure legitimate claims are processed efficiently, at lower cost.
Insurance Ireland, the main trade body for the sector, welcomed the strategy. CEO Moyagh Murdock said boosting the resolution board’s research capabilities and increasing the share of claims settled through the board are essential steps forward. The group noted that legal expenses dominate total claim costs and said it backs proposals to restrict fees.
Insurance Ireland has long encouraged the use of the Injuries Resolution Board for the settlement of claims and the measures to increase cases settled in this channel are most welcome
Insurance Ireland Chief Executive Officer Moyagh Murdock
Insurance Ireland said this cost imbalance discourages fair pricing and further highlights the need to shift more claims into the board process.
NCID data shows that in litigated cases involving compensation below €100,000, average legal costs reached €18,097 — about 89% of the awarded amount of €20,334.
This reform builds on a 2020 action plan that tackled excessive premiums, limited competition, and legal overhead.
That earlier effort resulted in new personal injury guidelines, updated duty-of-care rules, and mediation services integrated into the resolution board.
