
A bill put before the Dail in Ireland to end dual, or differential pricing, by insurers and brokers, has been kicked into touch by the TDs, according to RTE.
The state broadcaster reports that Sin Fein brought forward proposals to end the dual pricing system, which sees higher renawal prices on products like car insurance. Typically, insurers win new customers over with a cheaper initial quote and then the price goes up at renewal time.
According to RTE the Irish Minister responsible for Finance commented; the Government does not believe the bill is “the correct solution at this time” and could negatively impact consumers who shop around. The Alliance for Insurance Reform in Ireland also welcomed the move, although he added that older customers can often see loyalty to brand as a good thing, and could therefore suffer a financial penalty for that loyalty.
There will be a nine months consultation period, where the fine details will be looked at.
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