
By Vivienne Clarke A spokesperson for the Federation of Early Childcare Providers has repeated a warning that more and more crèches will have to close because they cannot get insurance.Elaine Dunne told RTÉ radio’s Morning Ireland that while one insurer will provide cover for the sector it comes at a very high price that most childcare providers will not be able to afford.Ms Dunne was responding to the news that the broker searching for a new insurer for 1,300 childcare facilities clients has told them he has not been able to secure any cover.
Padraic Smith and Co.said it regretted to inform them that despite intensive follow up meetings, the broker was unable to secure an alternative insurer for their businesses at this time.The company is advising clients to contact Arachas Corporate Insurance Brokers immediately to establish if they would be in a position to take them on to access insurance with Allianz Ireland.
“Yes Allianz will take us on, but at what price? One of our members found their insurance increased from €3,400 last year to €9,000 this year.How are people to pay that? Ms Dunne said that there are ongoing difficulties for the sector ranging from insurance to new regulations and staffing shortages.There is a knock-on effect for others as well, she said such as the broker Padraic Smith who “broke his back” trying to find cover for the 1,300 childcare facilities.
Ms Dunne said the Minister for Children needs to meet with the federation and the Taoiseach “needs to support us.We cannot do this on our won.” Early Childhood Care and Education schemes (ECCE) could also close down, she warned.Ms Dunne spent two days in the UK last week meeting with insurance providers, but she found that “people are not willing to touch us.” This was because of non-compliance regulations which are not varied and can range from an out-of-place toothbrush to children not being fed.
“If the Government thinks we’re going to find someone (to provide insurance), they’re very wrong.No one is going to touch us.”
The Federation had been in touch with Allianz, but the prices they were quoting were 100% higher than those arranged by Padraic Smith last year.“They have a monopoly now.”
Publisher: E-Insurance News