The Minister for Finance, Michael Nonnan, has advised that all third party claims against Setanta Insurance Company, in liquidation, will be accepted by the Motor Insures Bureau of Ireland (MIBI).
Setanta Insurance Company, an insurance company registered in Malta, collapsed on the 16th April leaving an estimated 75,000 policy holders in Ireland without cover. The MIBI established in 1955 by an Agreement between the Government and the Companies underwriting motor insurance in Ireland for the purpose of compensating victims of road traffic accidents caused by uninsured and unidentified vehicles.
Michael Noonan also said that first party claims against personal insurance policies will be payable by the Insurance Compensation funds. The Insurance Compensation Fund which is administered by the High Court may be able to handle the financial fallout from out-of-pocket policyholders, if called on to do so. Someone making a claim would be eligible for 65 per cent of the amount due or €825,000, whichever is the lesser amount.
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