MIJAG Newsletter

national | miscellaneous | news report Monday June 24, 2002 17:06 by Finghin - MIJAG

Latest from MIJAG Car Insurance Campaign

MIJAG has been keeping a low profile over the past few weeks and has been
enjoying the world cup like everyone else. Apart from further coverage in
the media the insurance rip-off continues un-abated. The campaign continues
to get mails about the incredible premiums people are being asked to pay and
the latest trend is the huge increases in MOPED Insurance which gas gone
from 900 to 1900 euro in the past year. Another example of the continued
rip-off and especially when you consider that Mopeds and small bikes do not
have to be insured in France.

Significantly the government have made the implementation of the MIAB
report, part of the five year program for Government. See below a article
written by Mick Murphy the Campaign National Organsier which gives his view
on the significance or otherwise of the MIAB report and MIJAG's role on this
issue to date.

The Campaign is in wait and see mode over the summer. The Implementation
body for the MIAB report is due to report soon and unless there is some
progress made by the Autumn the Campaign will have to look at its next move.
Almost all the Politicians made promises on this issue during the election
and some (Who had nothing to do with MIJAG) even claimed to be spearheading
the campaign. We will soon have to put it up to these people to deliver on
this issue.

We have managed to pay off half of the 1,500 euro election debt but would
welcome all donations from supporters be they big or small. Donations can be
sent to MIJAG, c/o 78 Whitechurch Way, Dublin 16.

MIJAG
_____________________________________
MIJAG - Motor Insurance Justice Action Group
website: http://www.mijag.com
email: [email protected]

"It is difficult to have any great confidence that the high cost of
insurance will alter radically in the near future as the current situation
suits to many interests" is a quote from the executive summary of the long
awaited MIAB report.

MIJAG welcomed the publication of the report and congratulated the MIAB
Committee for its good work. It is official now that Ireland has a very
expensive, in-efficient and profitable motor Insurance Industry that is in
need of radical surgery. Un-fortunately if every one of the 67
recommendations in the report were implemented there is no guarantee that
Young Drivers paying ?3,000, ?4,000 and ?5,000 for Insurance would pay less.
In that sense the report does not go nearly far enough.

The MIAB was set up in October 1998 and given four years to report. MIJAG
was set up just over a year later. The MIAB were getting no where and were
being stone walled by the Insurance Industry. Within six months MIJAG had
blown the whole situation wide open with the media constantly reporting on
the issue. Public meetings with TDs invited were held through 2000 in
Dublin, Cork, Wexford and Limerick and after every meeting there were more
questions being asked in the Dail. By the middle of 2000 the MIAB published
its interim findings which showed that young drivers were indeed being
ripped off and threatened to resign if the Insurance Industry did not
produce the raw data (Open the books). The Insurance Industry could not
refuse, the political pressure was huge.

The change in the situation is mentioned in the report summary when it
refers to the initial advertisement for submissions only getting a handful
of replies in 1998 but there were over 300 submissions in 2001 with over
half coming from young MIJAG supporters.

The Government have now set up an implementation committee to oversee the
implementation of the recommendations. The Insurance Industry said they will
comply with all the recommendations.

This is a classic example of people tinkering with the system. It may bring
modest gains and they will be welcome. However as the report itself said we
should not expect too much. The very reasonable MIJAG demand for everyone
who has no safety related driving offences, to pay less than ?1,000
including beginners is still a long way off. For now we will wait a few
months to see if there are any significant developments.

The idea of going head on with the politicians in elections is now well
established in the minds of MIJAG supporters. The four MIJAG backed
candidates in the election all got over 1,000 votes and may run again on
this issue if it is not resolved satisfactorily.

Written by Mick Murphy (MIJAG National Organiser) for the Voice Newspaper