Sir, – In view of the current upward trend of motor insurance costs in Ireland it would seem appropriate to consider legislation to reform how motor insurance is provided.
Third party insurance could be provided on a PAYD basis, ie pay as you drive, by introducing a small charge per litre on fuel costs. Vehicle owners who choose could upgrade their insurance to cover, fire, theft, comprehensive, etc, as they require, by purchasing additional cover from insurance companies. The benefits of PAYD would be to curtail the monopoly of the insurance industry, provide a basic cover for all citizens driving a vehicle, eliminate the problems of uninsured drivers, and ensure that those who drive pay per kilometre. PAYD has been used in the US and is currently the format in New Zealand and South Africa for basic legal motor insurance. – Yours, etc,
TOM CASEY,
Clontarf, Dublin 3.