Age plan set to hike health cover by 80%

THE cost of private health insurance could rocket by up to 80% if the EU gives the green light to a plan to hike premia for new customers aged over 35.

At the moment everyone pays the same premium, regardless of age, under the community rating system. But both VHI and BUPA want to get rid of this system because they say it is crippling their business, since a 65-year-old is five times more likely to make a claim than a 25-year-old.

Now the Department of Health has asked the EU for the go-ahead to bring in a late entry premium loading for all new customers aged over 35 by July. Health analysts estimate that the extra ‘loading’ could cost new private health insurance customers up to €288 more a year if they are over 65.