Dáil Éireann Debate, Thursday - 6 December 2007
90 Deputy Thomas P. Broughan asked the Minister for Health and Children if her Department has given any further consideration to the pricing and cost of health insurance here especially in view of reported increases in premiums in early 2008; and if her Department has consulted on the creation of a health services regulator whose functions would include the pricing of health insurance. [33182/07]
Amharc ar fhreagraWith regard to the pricing of health insurance, it is a matter for the insurer to determine the appropriate premium. Community rated health insurance in Ireland is significantly cheaper than comparable cover elsewhere particularly for vulnerable groups such as older people.
The Voluntary Health Insurance (Amendment) Bill 2007, currently before the Oireachtas, provides for the removal of the current limited role of the Minister of Health and Children from involvement in the commercial affairs of the VHI, including price setting.
Prudential regulation is a matter for the Financial Regulator and it is necessary that insurers have freedom in relation to the pricing of their products for the purposes of achieving and retaining authorisation. Against this background, it would not be appropriate to establish a health services regulator whose functions would include the pricing of health insurance.
The Health Insurance Acts (and regulations) have been enacted in the interests of the common good, providing for community rating, open enrolment and lifetime cover. Companies offering health insurance contracts are obliged to comply with the regulatory framework provided for in the Health Insurance Acts and related regulations. The health insurance industry is monitored by the Health Insurance Authority to ensure compliance with the common good regulatory framework.
