Two of Ireland's largest insurance companies are reportedly refusing to cover cars that are 15 years old or more.

The Irish Independent has reported that Aviva and Allianz have made the decision because they claim older cars are more likely to be involved in collisions.

It is understood the restriction is in place even if the vehicle has a valid NCT cert, but would only apply to new customers.

Brendan Nevin, CEO of AA Ireland, said that motorists shouldn't panic, as existing customers of Aviva and Allianz are not affected by the move, and other insurers are continuing to cover older cars.

"My understanding is that both insurers have said today that they are continuing to cover existing drivers," he said.

"So this is really an issue for somebody who isn't covered by those two insurers.

"There is still cover in the market [from other companies]."