The Licensed Vintners Association (LVA) has today warned that "crippling" insurance hikes are threatening the viability of pubs in the capital.
The LVA, which represents Dublin publicans, wants the Government to carry out an independent review of the business insurance market in Ireland as a matter of urgency.
In addition to the cost of insurance, the LVA says there is widespread concern about how the claims system is functioning.
It believes the two year period in which it is possible to lodge a claim is completely excessive while the majority of claims are by-passing the Personal Injuries Assessment Board process.
The Association says that as a result many members face an expensive and time consuming process and in many cases claims are being settled directly by the insurance company.
The CEO of the LVA, Donall O’Keeffe said recent insurance increases averaged 20% annually over the last two years and the situation was now reaching "breaking" point.
“Insurance costs for Dublin publicans are a very serious expense, typically ranging from €15,000 to €25,000 per annum," he said. "However many larger LVA members, especially in the late bar scene, are facing premiums of €50,000 to €100,000 per annum. Such increases are simply not sustainable."
Source: www.businessworld.ie
