Insurers have posted a big upsurge in profits from covering homes, drivers and holidays.

The figures from insurance Ireland show that 17 companies in Ireland made a combined operating profit of €227m in 2017 from non-life insurance.

That is a huge surge on the €16m profit the same companies posted in 2016.

It marks a surge in profits of over 1,300% as premiums continue to skyrocket for customers.

Motor Insurance

The organisation’s ‘Factflie’ for 2017 shows that motor insurance accounts for more than half the non-life market.

It was highly profitable for Insurance Ireland members in 2017 – with the 17 companies posting a profit of €124.8m on private and commercial motor insurance.

Companies took in 16.2% more from customers on motor premiums in 2017 than they did in 2016 – while the number of claims dropped by 5%.

Meanwhile, insurers made an €84.3m profit on property insurance.

Liability

Liability insurance proved to be the black mark on the insurer’s profit books – with the 17 companies positing a loss of €24.6m on employer and public liability.

Liability insurance covers businesses when they are sued and many businesses have warned that they may be forced to close doors due to difficulty accessing affordable liability insurance.

In a statement, Insurance Ireland said its members had posted underwriting losses of €757 million on motor insurance over the past five years.

It said member’s underwriting losses on liability insurance were at €349m over the same period.

“Insurers must maintain underwriting discipline in what is still a volatile market as key claims reforms have not been delivered and this must be addressed as a matter of urgency,” said Insurance Ireland CEO Kevin Thompson.

“Like all businesses, insurers want stability and claims cost reform is the means to deliver this for policyholders.”