Dáil Éireann Debate, Wednesday - 17 September 2014
776. Deputy Michael Healy-Rae asked the Minister for Health not to penalise holders of health insurance with a further increase in the Government's health insurance levy or a reduction in tax relief; and if he will make a statement on the matter. [32970/14]
View answerI am committed to maintaining a sustainable private health insurance market, and I am keen to create the best possible environment within which more people, particularly younger people, will want to obtain and retain private health insurance cover that is affordable, competitive and meets consumers' needs.
As required under the Health Insurance Acts 1994 to 2013, the Health Insurance Authority submits a report to the Minister for Health in October each year recommending the risk equalisation credits and corresponding stamp duty levies for the following year, taking into account factors such as the changing demographic profile of the insured population and market developments. The Minister for Health, following consideration of the Health Insurance Authority’s report and having consulted with the Minister for Finance, sets the Risk Equalisation credits for the following year having regard to maintaining the sustainability of the market and promoting fair and open competition. The Minister for Health makes a recommendation to the Minister for Finance on the stamp duty levies required to fund those credits for the following year, and these are set by the Minister for Finance. Decisions for the 2015 rates will be made following receipt of the October 2014 report from the HIA and will be underpinned by my commitment to maintaining a sustainable private health insurance market.
Budget 2014 reduced the amount of tax relief at source applied to health insurance policies on premiums in excess of €1000. Tax relief at source provided for private health insurance is a matter for the Minister for Finance.
