INSURANCE premiums should not be affected by the proposed change to compensation payments, according to the Insurance - Federation of Ireland.
The federation's non life insurance manager, Mr Michael Horan, said structured settlements would not mean higher compensation, and therefore premium costs should not be affected.
"This system is based on the system in the UK, which has been in operation for about 10 years. If you look at the experience there, provisional and interim damages haven't really taken off and structured settlements are only used in a small number of cases."
Mr Horan said people tend not to be interested in provisional and interim payments, preferring to take a full and final settlement.
The more lime in court the higher the costs, so if provisional and interim payments became widely used, premium costs could increase. But if Ireland follows the British trend this will not be the case.
"If the recommendations are implemented people are going to have to sit down and work out the logistics of it."
The Chairman of the Bar Council, Mr James Nugent SC, said the council would welcome the change.
Asked if barristers would resist a change to lump sum payments as their fees are generally based on commission, he said he did not feel this would be the case.
"From the point of view of justice between the parties it would effect an improvement."
Mr Nugent said courts already grant a form of interim payment in cases where an award is appealed. And the hepatitis C compensation tribunal offers provisional awards.
