HC Deb 26 November 2002 vol 395 cc224-5W
Brian Cotter

To ask the Secretary of State for Trade and Industry (1) if she will provide assistance to small businesses who are(a) finding it difficult to obtain insurance and(b) being charged premiums that are substantially higher than before; and if she will make a statement; [82827]

(2)what plans she has to meet representatives from the Association of British Insurers to discuss recent increases in the cost of insurance cover for business; and if she will make a statement; [82831]

(3)what assessment she has made of the impact of the rise in public liability and employers' liability insurance premiums over the last year on the competitiveness of UK businesses; and if she will make a statement. [82826]

Nigel Griffiths

[holding answers 25 November 2002]The ABI has not specifically requested a meeting on this topic.

Officials have had discussions with the Federation of Small Businesses as well as with the Association of British Insurers and the British Insurance Brokers Association to explore how affordable cover can be provided. The DTI, Treasury and the Department of Work and Pensions are closely monitoring the effect of insurance premium rises on UK firms of all sizes.

Ms Shipley

To ask the Secretary of State for Trade and Industry if she will make a statement on the effect of the events of 11 September 2001, on insurance requirements for small and medium sized architecture businesses. [83350]

Nigel Griffiths

A number of businesses—particularly small businesses—are experiencing increases in liability insurance premiums, and in some cases difficulties in obtaining cover. Insurance premiums are rising across the board at present for a variety of reasons, not least the tragic events of September 11 last year, which had a severe effect on the global insurance market.

The DTI, Treasury and the Department for Work and Pensions are closely monitoring the effect on SMEs of insurance premium rises. We are exploring with Association of British Insurers and the British Insurance Brokers Association ways to ensure that affordable cover is available.