Varadkar claims premium costs should not increase as VHI raises €90m to become regulated insurer

The VHI is to become an authorised entity as of July 31.

The State-owned health insurer raised €90m of subordinated debt through Berkshire Hathaway, and will now be a regulated insurer, like its rivals.

The organisation will also need to maintain a certain level of reserves, as its competitors are required to.

VHI's private competitors had put pressure on the health insurer to become a regulated entity, and they had taken a case to the EU on the issue.

Health Minister Leo Varadkar said that he does not think that the VHI will have to raise its premium costs.

"From what I know from the VHI is that they don't have any plans at this time to increase prices, but there are a number of factors that effect that, and I suppose this is only one of those really," said the Minister.