PRESS RELEASE - 1/November/2002 Insurance Companies Accused of Jumping on the Penalty Points Bandwagon "Insurance Companies are quick to jump on the penalty points bandwagon and are talking about further increases in premiums. They should not be allowed access to the Governments database until they agree to make this the only basis for the loading of premiums" said Mick Murphy the National Organiser of MIJAG the Motor Insurance Justice Action Group. "MIJAG which was set up three years ago to campaign for cheaper motor insurance always argued for the penalty points system to be introduced but do not trust the insurance companies to fairly apply loading". Mr Murphy added. "The MIAB report (P 18, E52) showed that insurance companies make the most profit from young drivers and in particular young women. Yet many young women pay close to €4,000 for insurance with young men paying over €6,000. They get little or nothing off after the first few years of accident free driving. The insurance companies no longer award safe driving but are quick to shout about loading unsafe drivers" Mr Murphy said. "The only basis for loading an insurance premium should be a drivers safety record. That is the system used in Denmark and Canada. Everyone including beginners should start off with a clean slate paying the average premium of €650. Loading should only apply if safety related driving offences are then committed. The loading should be regulated by the Government with a view to complimenting the effect of the penalty points system on driver behaviour." Mr Murphy said.     Back to Press Release Index