Hoteliers: ‘Time for foot-dragging’ on insurance has passed
Government urged to tackle knock-on effects of spiralling premiums on tourism industry
Nine in every 10 hotels and guesthouses are concerned about the impact of insurance costs on their business. Photograph: Getty Images
The Irish Hotels Federation (IHF) has made a fresh call on the Government to address the spiralling cost of insurance premiums. Almost two-thirds of IHF members have seen further increases in their insurance costs over the past 12 months, the organisation said.
On average, premiums rose by 28 per cent year-on-year, it said, and came on top of substantial increases in prior years.
According to a member survey conducted earlier this month, nine in every 10 hotels and guesthouses are concerned about the impact of insurance costs on their business.
“These increases are unsustainable,” said IHF president Michael Lennon. “Exorbitant insurance costs are curtailing the ability of hotels and guesthouses to reinvest in their businesses, with knock-on effects for the tourism industry.”
Mr Lennon urged the Government to tackle this “enormous challenge” for businesses and wider society.
“The time for foot-dragging has passed. We need decisive action by Government to tackle insurance costs, particularly in relation to the handling of personal injury cases in Ireland and the excessive levels of awards being made,” he said.