Alan Shatter
Question:68 Mr. Shatter asked the Minister for Health and Children if he will make a statement on the implications of VHI premium increases; and his views on a statement by a person (details supplied). [5521/01]
Written Answers. - Health Insurance.
Under legislation, the Voluntary Health Insurance Board is required to notify me, as Minister for Health and Children, of its intention to increase premiums and it is open to me to direct the board not to implement an increase. The board, having complied with the legislative provisions, recently increased premiums by 6.25%.
There are a number of considerations which the Board of the VHI must take into account when considering any premium increases. These include competitive pressures in the market place, the higher cost and incidence of claims, the maintenance of reserves and enhancing the benefits and services available to members.
As regards the analysis presented in connection with the Deputy's question, I would point out that, the day to day operation of the VHI is a matter for the VHI Board in conjunction with its management. The board must arrange its affairs, as regards its staffing levels, in the context of its experience and assessment of business demands and opportunities, going forward. I do not have a role in determining such internal organisational matters.