VHI is to cut the cost of most of its plans in March.
The health insurance provider says the reduction, which works out at an average of 5.5%, will take effect from March 1 this year.
They also said it will apply to almost 90% of its customers.
They are introducing extra benefits on some of its plans, including genetic testing for some hereditary cancers, access to an online doctor through an app and fitness screenings.
VHI Director of Marketing and Business Development Declan Moran said: "We understand that many of our customers continue to struggle with affordability.
"They also want access to primary care, to digital enabled technology and access to innovative benefits. We are delighted that today’s announcement responds to these needs."
Mr Moran said VHI can make the reductions "due to a solid business performance over the last number of years supported by another strong financial performance in 2017.
"We are also continuing to enhance plans which are traditionally purchased by our older and sicker customers. In addition to reduced prices, these customers will also see a combination of improved primary care , reduced excesses, better cancer care package , better cardiac care programme and overall a very comprehensive range of new benefits."