Democratic Left finance spokesman, Mr Pat Rabbitte, has claimed the Insurance Ombudsman, who is due to step down in August, is being "bullied" out of office. Speaking in the Dail yesterday, Mr Rabbitt, called on the Minister for State, Mr Noel Treacy, to insist that he wishes Ms Paulyn Marrinan Quinn to remain as ombudsman for a further year, while undertaking to closely monitor the performance of her office.

Mr Rabbitte said the situation was "intolerable" and questioned the silence of the Minister with responsibility for the sector. "If the industry is successful in forcing the resignation of Ms Paulyn Marrinan Quinn, it will spell the end of an independent private sector ombudsman for the insurance industry" he said. Democratic Left (DL) also called for the insurance ombudsman scheme to be put on a statutory basis.

"The Minister cannot stand idly by and watch the vital independence of the office of the ombudsman being eroded."

Mr Rabbitte warned that the insurance industry cannot have it both ways.