Dáil Éireann Debate, Thursday - 22 January 2026
335. Deputy Eoghan Kenny asked the Tánaiste and Minister for Finance if he is aware that homes at a location (details supplied) now cannot be sold to mortgaged buyers due to mortgage lenders not allowing drawdown on properties where the home insurance does not include flood cover, cover which is not being provided by insurance companies; if so, the steps he is taking to remedy the matter; and if he will make a statement on the matter. [5375/26]
View answerAs Tánaiste and Minister for Finance, I have policy responsibility for the development of the legal framework governing financial services regulation, including for the insurance sector. As you will appreciate, I cannot comment on individual cases or intervene in disputes that individuals may have with their bank or insurance provider.
In relation to the general issue of mortgages, there is a broad legal and regulatory framework which governs the provision of residential mortgage credit to consumers. Individual lenders determine their own lending policies and loan underwriting criteria, including in relation to the nature and type of collateral acceptable for mortgage lending purposes. The decision to grant or refuse a mortgage application, or to set any appropriate conditions which will have to be fulfilled in order to drawdown mortgage credit (such as a requirement on the prospective borrower to put in place an appropriate policy of insurance on the property which is to act as security for the mortgage loan) is a business matter for an individual lender.
In terms of the challenges associated with obtaining flood cover, please be aware that the provision of such cover is a commercial matter for insurance companies, based on an actuarial assessment of the risks they are willing to accept. Insurance Ireland have previously advised that insurers generally consider claims history, local flood risks, and any mitigation works undertaken by the OPW or local authorities when assessing applications. However, Government cannot interfere in the provision or pricing of insurance, or direct as to what cover is provided, as is reinforced by the EU framework for insurance (Solvency II Directive). Insurance arrangements depend primarily on the contractual relationship between the insurer and the insured. Decisions on whether to offer cover, the level of premiums, and the specific terms of policies are made by insurers on a case-by-case basis.
The Government remains committed to protecting Ireland’s present and future generations by investing in climate adaptation measures to manage the impacts of extreme weather. Accordingly, the National Development Plan, €1.3 billion is committed to the delivery of flood relief schemes over the lifetime of the plan to 2030, which will protect around 23,000 properties. To date, 55 flood schemes have been completed at a cost of €550 million, protecting over 13,000 properties and delivering an estimated €2 billion in avoided damages.
Consumers having difficulty accessing insurance can contact Insurance Ireland’s information service at 01-676-1820 / [feedback@insuranceireland.eu]. In addition, Brokers Ireland also offers support and access to a wide range of insurance products and can be contacted via 01-661-3067 / [insurancequeries@brokersireland.ie].
My officials are continuing to monitor and assess flood insurance matters, including through its participation in the OPW and Insurance Ireland Working Group. I wish to assure the Deputy that these matters remain a priority for this Government and efforts continue to be made to encourage a responsive approach from the insurance industry.
