Health insurance minefield

The HIA and consumer groups advise changing health insurance policies every few years to cut costs

(Irish Independent, July 22). The suggestion is that there is always a newer plan that provides the same cover for a lower fee.

While this can often be the case, there are hidden difficulties that make changing very daunting. Newer plans have co-pay excesses on certain orthopaedic and eye procedures but this is not the only bar to change. Many newer policies are limited to a small number of hospitals in any area. Consumers are afraid to accept this limitation, as many doctors have preferred consultants that they refer to, and consultants themselves are often attached to only one or two hospitals.

Insurance companies may be obliged to offer cheaper plans that offer similar cover when asked, but the definition of what constitutes a similar policy is open to interpretation. On a recent phone call to ask this very question, I was advised to change to a similar policy which would save me less than €100 per adult per annum. On investigation, I found that the “similar” policy had a lower payment for outpatient charges, and also had lower inpatient cover than my existing policy. Just two visits to my doctor or dentist would cost me more than the so-called saving by switching.

No two policies are exactly the same. This allows insurance companies to use the pre-existing condition clause to their benefit. Defining a pre-existing condition also open to difficulties. Switching is a minefield, and it is not surprising that consumers are afraid to make changes. BA Keogh Rathfarnham, Dublin