Dermot Goode, Director, Health Insurance Ireland says - "This follows its previous average increase of 3% in March, and it is understood that some plans could increase by up to 5%.
Depending on the plan, this latest increase could cost an individual an additional €35 to €65 a year. For those on VHI’s higher plans, the increase could be between €110 and €150 extra per year.
For a typical family, the increase could add approximately €110 to the annual health insurance bill. A family on higher plans, such as Advanced Care Extra Day to Day, could see a total increase of close to €260. For a retired couple on VHI’s top plan, its Premium Care scheme, the increase could add a further €300 to their annual bill.
This latest increase follows the Laya Healthcare increase announced last week and continues a similar trend of insurers increasing their rates in advance of the peak renewal period. On a positive note, there appears to be less upward pressure on rates, which hopefully means the days of double-digit cumulative increases may be coming to an end.
As with all insurers, VHI is attributing these increases to the rising cost of claims. Not all of VHI’s plans are increasing in October, and we can expect further ad-hoc increases between now and the end of the year on many of its corporate plans.
Consumers need to be very careful with the average figures quoted by insurers, as some plans could increase by double the average figure or even more. Consumers should also remember the previous rate hikes earlier in the year, which means the cumulative impact could be closer to 7% or even higher.
The message to all consumers is never to simply accept these increases without first engaging with their insurer and challenging them to find similar cover that matches their budget. New plans and deals are being introduced all the time which consumers may not be aware of unless they engage with their insurer by phone.
For anyone worried about the impact of these changes, they should consider seeking expert advice from a qualified adviser who can help them source the best-value cover for their needs”.
