Linda Murray appearing before Dail Finance Committee today

WATCH: Navan play centre owner tells politicians her business could close within days due to crippling insurance costs

A Navan business owner today made an emotional appeal to politicians to help save jobs and kids activity businesses sinking due to crippling insurance crisis.

Rocketing premiums as a result of fraudulent and exaggerated claims are forcing small businesses that cater for children to close. 

Huckleberry's Den play centre owner Linda Murray’s told the Oireachtas Finance Committee that her business in Mullaghboy Industrial Estate could close within 25 days as she struggles to find insurance cover.

An emotional Mrs Murray was redcued to tears as she pleaded with the TDs and senators on the committee: “Save our livelihoods, save the livelihoods of our staff, and give our children somewhere to play.”

"In my own case when I opened six years ago my premium was €2,500, last year it was €16,500 and although I've been told I cannot get insurance, I have been advised that if I were to get it, I'd be expected to pay €26,000. 


Linda Murray speaking to the Oireachtas Finance Ctte today. (clip courtesy RTE/Oireachtastv.ie)

"Just a little increase of 1,040% since I opened six years ago. This is my livelihood. I've 12 people employed at the moment and I've 25 days left to get insurance. Why can't I, you may ask? I've had two claims in the last five years. 

"One for a child who banged his head, and because he banged his head I've been sued for anxiety and because the child is now unable to play with his friends or go to play centres or play in playgrounds.
 
"The reserve on this is €23,000, even though the child didn't suffer any injury. This is the only reason that I cannot get insurance. I am the only play centre in Navan, the other play centre ((Lolo Town) closed six weeks ago. 

"Navan has a population of 40,000 and there are lots of children who need to go and play, especially on rainy days or need to go somewhere to have their kid's party and I really don't want to close in 25 days. 

"My own case is horrific but it is not unusual. We have centres the length and breadth of the country who are told they are lucky to be even getting insurance and to feel lucky that they are getting insurance, and when you are handed your premium or when you're handed your quote you're told 'now this is what it is, it was €20,000 last year, its €45,000 this year, but you're lucky you're getting it'. That is genuinely what we're told, "you're lucky you're getting it".

Popular activity centre, LoLo Town in Navan, closed its doors back in February as a direct result of vastly increased premiums and costs. Another popular play centre, Jesters, also in Navan, closed in 2015.

Speaking to the Meath Chronicle in February, Linda said Increased insurance costs mean those providing classes and activity facilities for young people would be left with no other choice than to follow suit.  Spearheading a group for insurance reform, Play Activity and Leisure Ireland (PALI)., Linda has warned that play centres in Ireland could ALL be closed within 18 months because of bogus claims.


Linda Murray outside her Huckleberry's Den play centre in Navan.

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Former chairman of business lobby group Isme James Coghlan claimed insurers were engaged in “price gouging”. Irish insurers are not currently covering play centre businesses who are having to gain coverage from UK firms. 

Chief executive of ISME Neil McDonnell said the cost of insurance issue is now hollowing out Irish society.


LoLo Town closed in February as a result of spiralling insurance costs

“It is restricting the conduct of sport, play and charitable activity, it is attracting criminal activity, it is encouraging the advancement of manufactured grievances.

“It is reducing the physical and moral health of citizens. We are getting to the point where suing someone for the most minor of inconveniences is socially acceptable across all educational and class strata.”

Businesses are now closing on a weekly basis due to the insurance crisis, the Alliance for Insurance Reform said.

Alliance director Peter Boland said there was no justification for the premium hikes seen, and there was little transparency on what is going on.

It added that vested interests in the insurance and legal sectors are stalling much-needed reform.

Isme said there was a need for a reduction in the quantum of awards in courts and those paid by the Personal Injuries Assessment Board to be reduced.

It said there is a need for the legal profession to engage honestly with a reform process.

And there must be meaningful action on the detection and punishment of fraudulent claims.