Private health customers face premium price hikes of 15%
Yesterday the country’s second largest health insurer, Quinn-healthcare, announced an average increase in policy costs of 7.9%, but some customers, including a family of two adults and two children, will pay up to 12% more — €220 — for Essential Plus Excess.
An individual adult on this plan will see the premium increase by 15% from €778 to €898. Essential Plus Excess accounts for approximately 25% of Quinn-healthcare membership.
The private health insurer blamed the hike on the Government health levy, an increased number of claims and higher claims costs.
“The Government is currently charging €185 per adult and €55 per child for the health insurance levy whether you are on a higher-priced plan or a low-cost starter plan,” said general manager Dónal Clancy. “We believe the levy is completely disproportionate, as less well-off customers compensate those better off.”
Mr Clancy said this was limiting the number of people entering the health insurance market and pushing other customers out. However, independent expert on private health insurance Dermot Goode said the health levy had only increased by €25 per adult this year and the volume of claims was the main issue.
“People are claiming for every penny now, for routine tests they may not have claimed for before and are making back-claims,” he said.
The bad news was further increases are unavoidable when the cost of a private bed in a public hospital increases — flagged this week in the national recovery plan.
VHI traditionally raises its prices on February 1.
Aviva has already announced a 10% rise in one of its plans, effective from Christmas Eve.
Mr Goode said consumers can retain 2010 prices by cancelling their existing policy and renewing it before January 1, locking them into 2010 prices for another year.
Health Insurance Authority (HIA) figures show 27,000 people cancelled their policies in the first half of this year.
