Solicitor for Insurance Law in Dublin

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Insurance Law in Ireland: A Comprehensive Overview

Introduction to Insurance Law

Insurance law in Ireland governs the contractual relationships betwee...

Insurance Law in Ireland: A Comprehensive Overview

Introduction to Insurance Law

Insurance law in Ireland governs the contractual relationships between insurers and policyholders. It encompasses various aspects of the insurance industry, including the creation of insurance contracts, the rights and duties of both insurers and insured parties, and the settlement of claims. Insurance law is a complex area that requires careful attention to both statutory laws and regulatory guidelines.

Whether you are seeking to purchase an insurance policy, file a claim, or resolve a dispute with an insurer, understanding the basics of insurance law is essential. In Dublin or anywhere in Ireland, this area of law is crucial for ensuring that your rights as a policyholder are protected.

What Is Insurance Law?

Insurance law covers the legal principles, rules, and regulations that apply to the operation of the insurance industry. It governs the buying and selling of insurance policies and defines the rights and obligations of both parties involved in the contract—namely the insurer and the insured.

There are two primary categories of insurance:

  • Life Insurance: Policies that provide financial protection in the event of the insured person’s death or serious illness.
  • Non-life Insurance: This includes a wide range of insurance products, such as car insurance, home insurance, and commercial insurance, covering losses other than death.

The Insurance Act 1936 and other legislation, including the Consumer Insurance Contracts Act 2019, set the framework for how insurance contracts are created and enforced in Ireland. The Central Bank of Ireland regulates the insurance industry to ensure that consumers’ rights are protected and that insurers operate fairly and transparently.

Key Elements of Insurance Law in Ireland

  1. The Insurance Contract

An insurance contract is a legally binding agreement between the insurer and the policyholder. The contract outlines the terms, conditions, and exclusions of the insurance policy, as well as the premiums to be paid and the extent of coverage.

The contract will typically contain provisions on:

  • Premium Payments: The amount the policyholder must pay to the insurer in exchange for coverage.
  • Coverage Limits: The maximum amount the insurer will pay for a claim.
  • Exclusions: Specific situations or risks that the insurer will not cover under the policy.
  • Claims Procedure: The process by which policyholders can file a claim and how the insurer will handle it.
  1. Duty of Disclosure and Good Faith

One of the fundamental principles of insurance law is utmost good faith (also known as uberrima fides). Both the insurer and the insured must disclose all relevant information honestly and fully when entering into an insurance contract.

For example, if a policyholder is applying for car insurance, they must disclose any prior accidents or driving convictions. Similarly, insurers must be transparent about the terms of coverage, exclusions, and limits.

Failure to provide full disclosure, either by the insurer or the insured, can lead to the contract being voided or claims being rejected.

  1. Consumer Protection and Rights

In Ireland, consumers enjoy significant protection under insurance law. Policies must be clear and transparent, ensuring that the insured fully understands the terms and conditions before signing. The Consumer Insurance Contracts Act 2019 introduced several provisions to strengthen consumer rights, including:

  • Cooling-off Period: Consumers can cancel most insurance policies within 14 days of purchase for a full refund, as long as no claims have been made.
  • Clarity in Policy Terms: Insurers are required to ensure that policy terms are clear and understandable for consumers. Unclear or misleading terms can lead to disputes and penalties for the insurer.
  1. Insurance Claims

When policyholders file a claim, they are entitled to be treated fairly and promptly by the insurer. Insurance companies are legally required to process claims in good faith and in accordance with the policy terms. The claims process typically involves:

  • Notification of Claim: The insured must notify the insurer of the claim within the time frame specified in the policy.
  • Investigation: The insurer will assess the claim, which may include gathering evidence, interviewing witnesses, and consulting experts.
  • Decision: The insurer will either approve or deny the claim, based on the terms and conditions of the policy.
  • Settlement: If the claim is approved, the insurer will pay out a settlement according to the policy’s coverage limits.

If a claim is denied or underpaid, policyholders can challenge the decision through dispute resolution mechanisms or by seeking legal action.

  1. Regulation of the Insurance Industry

The insurance industry in Ireland is heavily regulated to ensure that insurers comply with the law and treat policyholders fairly. The Central Bank of Ireland oversees the regulation of insurance companies, ensuring they adhere to prudential standards and maintain sufficient capital to pay out claims.

The Solvency II Directive, which is a European Union regulation, sets out requirements for insurance companies in terms of capital adequacy, risk management, and governance. This is designed to ensure the financial stability of insurers and protect consumers.

When Should You Consult an Insurance Lawyer?

Insurance law can be intricate, and disputes may arise when insurers deny claims or fail to honour their obligations. Here are a few instances when seeking legal advice from an insurance lawyer is essential:

  1. When Your Claim Is Denied

If an insurer refuses to pay a claim or offers an insufficient settlement, an insurance lawyer can help you understand your rights and guide you through the process of challenging the decision.

  1. When You Need Help with Policy Terms

Understanding the terms of an insurance policy is crucial to ensure you’re adequately covered. If the terms of a policy are unclear or confusing, an insurance lawyer can provide clarity and help negotiate better terms with the insurer.

  1. In Case of Breach of Contract

If the insurer fails to fulfill its obligations under the contract, such as not providing coverage for a valid claim or wrongfully cancelling a policy, an insurance lawyer can assist you in taking legal action for breach of contract.

  1. If You Are Involved in an Insurance Fraud Case

Insurance fraud is a serious issue. If you are accused of insurance fraud, an insurance lawyer can help you navigate the legal complexities and protect your rights.

  1. For Dispute Resolution

In some cases, you may not want to go to court but need help resolving a dispute through alternative methods such as mediation or arbitration. An insurance lawyer can help you negotiate a fair settlement with the insurer.

Recent Developments in Insurance Law

In recent years, several developments have shaped insurance law in Ireland. For example, the Insurance (Corporate Governance) Bill 2020 was introduced to improve transparency and corporate governance within the insurance industry. It aims to ensure that insurers act in the best interests of policyholders and stakeholders.

The Central Bank of Ireland has also taken steps to address issues related to rising insurance premiums, particularly in sectors like motor and public liability insurance. As part of these efforts, the Personal Injuries Guidelines were introduced to reduce the costs associated with claims and to create a fairer system for both insurers and consumers.

Conclusion

Insurance law in Ireland is essential for safeguarding the interests of both insurers and policyholders. Whether you are seeking advice on an insurance contract, facing a claim dispute, or need help with policy terms, understanding the key principles of insurance law is crucial. If you are facing any issues related to insurance in Dublin or anywhere in Ireland, consulting with an experienced insurance lawyer will ensure your rights are protected and help you navigate the complexities of the law.

About Dermot

Dermot is a Partner in our Commercial team. His expertise combined with business acumen means that he is an invaluable resource to clients looking for clear and pragmatic advice.

He has particular expertise managing large scale technology outsourcing contracts and a r...

About Dermot

Dermot is a Partner in our Commercial team. His expertise combined with business acumen means that he is an invaluable resource to clients looking for clear and pragmatic advice.

He has particular expertise managing large scale technology outsourcing contracts and a range of related matters, such as privacy and sector specific regulatory issues. Dermot regularly acts as trusted counsel on strategically important and novel technology projects.

His commercial contract experience is extensive and market leading, covering operational / supply chain agreements, route to market agreements, preparing and implementing template agreements and associated playbooks and providing an overflow service to in-house teams. He has also spent time on secondment and provided several commercial contract retainer services. This experience means that Dermot understands the challenges in-house lawyers face and is able to offer commercial advice which is tailored to risk profile.

Dermot has practised in both Ireland and the UK. He is best known for his work in the Financial Services and Life Sciences sectors. He has a deep understanding of the sensitivities in these sectors and the need to balance strategy and commercial intent with sector specific regulatory requirements.

dmcgirr@mhc.ie
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About Brian

Brian is a Partner in our Technology Law team and is Head of our Artificial Intelligence (AI) team.

Brian re-joined us in January of 2023 having spent time in-house as Chief Intellectual Property counsel with an Irish AI fintech start-up. During that time, he gained sig...

About Brian

Brian is a Partner in our Technology Law team and is Head of our Artificial Intelligence (AI) team.

Brian re-joined us in January of 2023 having spent time in-house as Chief Intellectual Property counsel with an Irish AI fintech start-up. During that time, he gained significant experience in operationalising and commercialising AI platforms and solutions. He led AI invention harvesting and international patent and trademark portfolio filing projects. He was also part of a team that conceived and developed a bespoke inhouse software invention and R&D tagging tool that has applications in the trade secret space also.

Brian helps clients prepare for compliance with the AI Act. This involves guiding them through:

  • EU AI Act strategy and compliance planning.
  • prohibited and high-risk AI systems threshold analyses
  • high-risk AI systems compliance planning
  • advising LLM / GenAI providers on their compliance obligations under the AI Act
  • working with clients to implement transparency obligations into the output of AI products.
  • Structuring and advising clients on AI Governance and related responsible AI policies and procedures.

Prior to working in-house, Brian was a Partner in our intellectual property team with many years’ experience in IP and technology law in a number of large firms. He is a proven results-driven and collaborative leader able to navigate complex technology and intellectual property issues in a fast-paced environment. Brian is an expert in designing and implementing business-focused AI and IP strategies and a trusted legal advisor to R&D and business leadership. His experience also includes M&A transactions, negotiating strategic partnerships, overseeing AI and IP asset management, and regulatory compliance. He has a passion for working in diverse technical and complex fields.

brianmcelligott@mhc.ie
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About Rob

Rob is a partner in our Construction, Infrastructure & Utilities team, specialising in Energy law. He is a seasoned practitioner with over 22 years’ experience in Ireland and Australia.

Prior to returning to Ireland in December 2021, Rob was Deputy General Counsel at Iber...

About Rob

Rob is a partner in our Construction, Infrastructure & Utilities team, specialising in Energy law. He is a seasoned practitioner with over 22 years’ experience in Ireland and Australia.

Prior to returning to Ireland in December 2021, Rob was Deputy General Counsel at Iberdrola Australia (previously called Infigen Energy), based in Sydney.

Rob has extensive and varied renewable energy and infrastructure experience, and has advised owners, operators and contractors on significant wind farm, solar farm and energy storage projects. Having spent over 10 years' in-house, he is particularly attuned to the commercial drivers of businesses operating in the Energy sector.

Rob is also admitted as a solicitor in New South Wales, Australia.

rmcdwyer@mhc.ie
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About Dorit

Dorit is a Partner in the Competition & Antitrust team and Head of Public Procurement, with extensive experience advising on all aspects of EU competition and procurement law.

She regularly advises clients on the competition law implications of commercial contracts, mer...

About Dorit

Dorit is a Partner in the Competition & Antitrust team and Head of Public Procurement, with extensive experience advising on all aspects of EU competition and procurement law.

She regularly advises clients on the competition law implications of commercial contracts, merger control, antitrust investigations, abuse of a dominant position, compliance and enforcement issues, State aid as well as competition litigation. She also advises clients on state aid matters and the impending Irish foreign direct investment screening regime.

In addition, Dorit has an excellent track record of advising public and private sector clients in the public and utilities sectors on a wide range of procurement issues, including advising on procurement strategy and execution, drafting procurement documentation, advising on selection and award criteria, evaluation methodology and scoring matrix, debrief requirements and defending or initiating a legal challenge.

Dorit is known for her keen eye for detail and pragmatic and solution-focused advice. She has practised law in England, Northern Ireland and Ireland for 25 years and is used to advising clients on cross-jurisdictional issues. Her experience allows her to draw on the practice in these jurisdictions and to develop strategies and solutions to difficult issues.

dmccann@mhc.ie
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About Hazel

Hazel is a Partner in our Intellectual Property Law team, and our Food, Agriculture & Beverage sector co-lead.

She partners with clients to identify, secure and commercialise their intellectual property rights and protect their intellectual property rights from infringe...

About Hazel

Hazel is a Partner in our Intellectual Property Law team, and our Food, Agriculture & Beverage sector co-lead.

She partners with clients to identify, secure and commercialise their intellectual property rights and protect their intellectual property rights from infringement.

Hazel is an expert on brand protection issues and trade mark strategies and manages international trade mark portfolios for clients. She acts in contentious trade mark, copyright, designs and patent matters.

Hazel also advises on intellectual property commercialisation and intellectual property issues in commercial transactions. She understands the commercial needs of her clients in a range of jurisdictions and particularly in cross border matters, as a result of advising on intellectual property issues in Ireland and Australia.

Prior to joining us, Hazel was an intellectual property partner in a leading Australian commercial law firm, based in Sydney.

hmcdwyer@mhc.ie
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About Robert

Robert is a partner in our leading Privacy and Data Security and Technology, Sourcing and Innovation teams. He helps major tech and other companies successfully implement global privacy, transfer and digital compliance programs.

He assists clients with how best to stra...

About Robert

Robert is a partner in our leading Privacy and Data Security and Technology, Sourcing and Innovation teams. He helps major tech and other companies successfully implement global privacy, transfer and digital compliance programs.

He assists clients with how best to strategically manage security incidents and privacy related regulatory engagement and claims. Robert also works with major tech and other companies in developing and refining specialist product and service terms, particularly those with a privacy dimension. In addition, he acts as trusted advisor on complex technology and outsourcing deals and has a niche expertise in procurement as a result of leading on significant public tech projects like the National Broadband Project and National Postcode Project.

Robert is known as an astute lawyer with a keen eye for detail, whilst always remaining business savvy. Robert excels at strategic and long-term thinking and an ability to scenario plan for all contingencies.

rmcdonagh@mhc.ie
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About Mark

Mark is a Partner in our Healthcare & Medical team. He specialises in the defence of high value and complex medical malpractice claims whilst representing the interests of hospitals and healthcare professionals in both the public and private sector. He also handles inquests on ...

About Mark

Mark is a Partner in our Healthcare & Medical team. He specialises in the defence of high value and complex medical malpractice claims whilst representing the interests of hospitals and healthcare professionals in both the public and private sector. He also handles inquests on their behalf.

Mark acts for several major Irish hospitals on the instructions of the Clinical Indemnity Scheme of the State Claims Agency and acts on behalf of clinical laboratory service providers in cases where the misreporting of cervical slides is alleged.

In previous roles with two leading healthcare firms in Ireland, Mark has represented the interests of private consultants and GPs on behalf of the largest indemnifier operating in Ireland, as well as private hospitals and other healthcare service providers on the instructions of their Irish and international indemnifiers and insurers.

mmccabe@mhc.ie
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About Eimear

Eimear is a Partner in our Corporate team. She advises on a range of corporate matters and is particularly active in the healthcare and energy sectors.

Eimear is recognised for her significant experience acting in the sale, purchase and restructuring of healthcare ass...

About Eimear

Eimear is a Partner in our Corporate team. She advises on a range of corporate matters and is particularly active in the healthcare and energy sectors.

Eimear is recognised for her significant experience acting in the sale, purchase and restructuring of healthcare assets. She advises many of the leading Irish and European operators and organisations on their portfolios of Irish healthcare assets.

She has extensive experience advising on renewable energy transactions having acted for many of the prominent developers and investors in the Irish energy sector. In addition, Eimear worked for a number of years as in-house counsel in a well-known renewables energy company.

Eimear joined us in 2015 having previously worked in-house and in corporate departments of other Dublin law firms. Due to her valuable experience working in industry, she understands clients’ needs and is commercial and solution focused in her approach.

elyons@mhc.ie
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About Kevin

Kevin is Co-Head of our Tax team. Kevin advises domestic and international clients on the tax aspects of doing business in Ireland.

Prior to joining us, Kevin spent 6 years advising on international tax structuring activities and tax controversy with a major inter...

About Kevin

Kevin is Co-Head of our Tax team. Kevin advises domestic and international clients on the tax aspects of doing business in Ireland.

Prior to joining us, Kevin spent 6 years advising on international tax structuring activities and tax controversy with a major international technology company and, before that, Kevin held roles in the tax groups of another leading Irish law firm and a Magic Circle law firm in London.

Kevin’s experience offers a unique perspective to clients operating internationally and in Ireland and in supporting the implementation of their business strategies in a tax efficient and compliant manner.

Kevin works with international groups on cross-border tax structuring, assisting with the design of their global holding, financing, intellectual property and supply chain structures in Ireland and internationally. He also advises clients on the use of holding companies in Ireland, migrations, M&A, reorganisations and private equity investment structures.

Kevin brings significant tax experience in financial services matters, including structured finance transactions, RMBS, CMBS and CLOs, and on real estate investment structures and on tax controversy matters, both in Ireland and other territories.

kmangan@mhc.ie
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About Michael

Michael is a Partner in our Commercial Department. With over 20 years’ experience, he is a regulatory specialist with a focus on content and communications regulation.

Technology companies are subject to an increasingly complex legal and regulatory landscape in ...

About Michael

Michael is a Partner in our Commercial Department. With over 20 years’ experience, he is a regulatory specialist with a focus on content and communications regulation.

Technology companies are subject to an increasingly complex legal and regulatory landscape in the EU, particularly as it relates to harmful and illegal online content. Michael is centrally involved in assisting some of the world’s largest technology companies navigate these laws, from understanding whether and how they apply to designing effective and efficient compliance measures with minimal impact on business.

Michael advises clients on all aspects of the EU’s Digital Services Act as well as on related laws such as the AVMS Directive, Terrorist Content Online Regulation, CSAM Regulation Proposal and Ireland’s Online Safety and Media Regulation Act.

Michael also has intimate knowledge of the EU electronic communications regulatory framework, including its complex ePrivacy rules, which now apply to a wide range of technology companies.

mmadden@mhc.ie
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Questions and answers about Insurance Law

If I want to protect my business name, how do I register a trademark in Ireland?

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How Do I Contest a Fine in Ireland? 1 Answer

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If I receive a fine for something I didn’t do, what steps can I take to contest it legally?

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How Can I File a Personal Injury Claim in Ireland? 1 Answer

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If I am injured in an accident, how do I file a personal injury claim in Ireland, and what should I expect during the process?

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Are there any important rules I should know about driving in Ireland, especially regarding alcohol limits and road safety?

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I’m considering starting a small business in Cork. What are the legal steps involved in registering my business?

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