VHIGH costs in private health insurance hike

Provider raising premiums for 3rd time in a year

IRELAND’S largest private health cover provider will hike its premiums for the third time in a year.

Some families will be worse off by around €300 a year after the VHI puts up costs by an average of 7% from March 1.

It follows increases last October and also in March 2023.

Bosses explained that the volume of claims rose by more than 20% last year while inflation made healthcare more expensive.

But critics estimated this latest hike will add between €105 and €315 to annual costs and warned that the rising rates could be too much for consumers.

The Health Insurance Authority urged consumers to shop around for the best policy for their needs. Dermot Goode of total-health-cover. ie said: “Consumers will not be able to absorb these soaring costs.

“This cycle of multiple price hikes looks set to continue in 2024 as the insurers seem unable to predict with any certainty their future cost of claims.”

It is estimated that the VHI customers on its Enhanced Care 350 scheme will face extra costs of €105 per adult a year and adults insured on the Health Plus Extra and

Premium Care schemes will be liable to between €230 and €315 extra per year.

Costs have soared by around €900 for couples on the most expensive plans, Mr Goode added.

VHI managing director Aaron Keogh said: “The scale of the increase in healthcare services accessed by our members means that this price increase is necessary.”

Health insurance providers like VHI are required by law to give the Health Insurance Authority 30 days’ notice of price changes.

HIA chief Ray Dolan said: “Consumers can use the free comparison tool on our hia.ie website to find the best policy for their needs.”