Insurance group Hibernian says it is sticking by its decision to offer a 10% cut in motor insurance premiums from November 1 to motorists with no penalty points.
But chief executive Bryan Jenkins says the company is very concerned at the recent increase in road deaths, saying Garda enforcement was crucial in ensuring that the initial positive impact was maintained.
Hibernian's general insurance premiums rose to €505.1m while insurance profits nearly doubled to €63.3m. Mr Jenkins said the improvement reflected improving claims trends, with reduced numbers of motor accidents in the period following the introduction of penalty points.
Overall, operating profits at Hibernian grew by 15% to €108.9m in the first half of this year compared with a year earlier, despite a fall in life and pensions new business.
Life and pensions premium income dropped 32% to €330m, while profits fell 14% to €45m. Mr Jenkins said the fall was due to strong SSIA sales last year and the impact of slower economic growth and poor stock market performances.
He said sales of the new PRSA pension products had been disappointing, adding that Hibernian would welcome a 'more coherent, coordinated approach' from the Pensions Board, IFSRA and the Revenue.
