European regulators have rejected calls to widen a probe of insurance companies here.

The European Commission competition regulators responded that the Irish competition authority is “well placed” to probe business insurance practices in this country.

It comes after the Commission last week told Insurance Ireland it has formed the preliminary view that it breached competition rules in the motor market.

After a two-year probe, the commission alleged there was restricted access to a data-sharing platform run by Insurance Ireland.

It said that since at least 2009 and until today, access has been linked to membership in the association, and it claimed it was not always possible for new players in the market to join Insurance Ireland.

Insurance Link is a database of fraudulent claims, with access needed to properly assess risk for any insurer that wants to operate here.

Now it has emerged that the lobby group Alliance for Insurance Reform wrote to Commission executive vice-president Margrethe Vestager asking for the probe to be widened from motor insurance to include liability insurance taken out by businesses.

Peter Boland of the Alliance said: “Our dialogue with the Commission is ongoing and the Alliance strongly believes that the logic that prompted the Commission to investigate Insurance Ireland’s use of Insurance Link within the motor insurance market applies precisely to the liability market as well.

“Not only does liability insurance within Insurance Link need to be investigated but it needs to be done urgently given the number of business, voluntary and community, arts, sports and charity sectors that cannot get insurance cover right now or are down to their last underwriter.”

But the Commission has rejected the call for it to widen out its probe.

It said the Irish Competition and Consumer Protection Commission (CCPC) recently published a market study on public liability insurance.

“In the light of this recent work in the area, as well as possible upcoming measures by the Irish authorities, it appears that the national bodies are well placed and focused on dealing with the matter of liability insurance,” the Commission wrote.

The Alliance wants the database a transferred to the State.