Sinn Féin spokesperson on Finance Pearse Doherty TD has welcomed today’s publication of the Central Bank’s regulations to ban price discrimination in the home and car insurance markets. The regulations will take effect from 1 July 2022.
This follows years of campaigning by Teachta Doherty to end this price gouging practice by the insurance industry.
Speaking today, the Donegal TD said:
“I welcome the publication of the Central Bank’s regulations to ban price discrimination in the insurance market, and its decision to implement this ban with effect from 1st July 2022.
“This price gouging practice involves insurance companies identifying loyal and vulnerable customers and then charging artificially high prices at renewal.
“A report by the Central Bank found that 2.5 million policyholders were paying a total of €187 million more than the actual cost of their policies as a result of this practice.
“For many years I have campaigned to end this price gouging practice and put money back in consumers’ pockets – submitting a complaint to the Central Bank in October 2019 calling for this practice to be banned before introducing legislation to ban it in January 2021.
“It is clear that the Central Bank responded and acted on that complaint.
“These regulations will increase transparency and result in fairer pricing for consumers.
“These regulations must now be kept under review to ensure that insurers are following them to the letter and that they result in lower prices for consumers.”