Insurers insist legal fees partly to blame for soaring motor premiums

The defence comes after Fianna Fáil demanded a new national claims register to force companies to disclose all details of every pay-out they make, allowing the public to see a legitimate rise in premiums.

Insurance Ireland defended the claims and denied holding back information on compensation deals.

Kevin Thompson of Insurance Ireland has queried the Bar Council’s claim that legal fees facing insurance companies had fallen by around 30 per cent to 50 per cent.

Mr Thompson said: “Insurance Ireland members have not seen that reduction in their legal costs and the statistics don’t back it up.

“We stand over our assertion that the cost of claims, including legal fees, are leading to rising insurance premiums.”

The Bar Council, in a recent statement, stood by these figures, citing data from various sources and state agencies from 2006-2013.

The data shows professional fees in respect of work by barristers saw an average decrease between 26 per cent and 50 per cent.