VHI is increasing health insurance premiums by an average of 3.5%. The move will come into effect on the 1st of October.
The customers face an increase in the cost of VHI Health Insurance Premiums for the second time this year on the 1st of October.
In a bid to mitigate the increase for families, the VHI will reduce the cost of children's premiums on selected plans by 25% from October 1st, while day to day benefits have been added to some plans that previously didn't have them.
It comes days after Laya Healtcare announced it was increasing premiums in October.
In a statement the company says it is in response to the sustained increase in volume and costs of healthcare claims.
"This is in response to the sustained increase in both the volume and costs of healthcare claims. In the first half of the year Vhi has seen a 14% increase in private hospital claim costs when compared to 2023.
"Healthcare costs are rising as more people are accessing much needed healthcare. The costs associated with the delivery of healthcare are rising driven primarily by the increased costs in private hospitals and associated healthcare professional costs. The cost of day-to-day claims have also increased significantly."
There will be reductions in the cost of children's premiums on selected plans by 25 per cent in October.
"To somewhat mitigate the price increase announced today for some families, Vhi is reducing the cost of children’s premiums on selected plans by 25% from October 1st. In addition, day to day benefits have been added to some plans that previously didn’t have this benefit."
Commenting on the price changes Mr Aaron Keogh, Managing Director, Vhi Insurance DAC said: “We have taken the decision to introduce a price increase from October 1st as premium income has not kept pace with healthcare demand and associated claims costs. We have to price prudently for the future so that we remain in a position to meet the healthcare needs of our members. We understand the affordability challenges that many people are facing and the importance that is placed on retaining health insurance and we are determined to continue to deliver value for money.
“Vhi reported financial losses in 2023 reflecting the challenging environment within which we are operating. 2023 and 2024 have seen accelerated growth in healthcare claims volumes and as a result unprecedented increases in healthcare claims costs. This is because our members are accessing more healthcare than ever before in a variety of settings.”
He continued “At Vhi we are supporting our members to stay well, building networks of connected services in our Vhi 360 Health Centres, providing access to rapid access dermatology services, a sports and musculoskeletal clinic, paediatrics clinic, women’s health clinic and positive minds programme ensuring our members receive high quality, high value care. Vhi members also get digital access to expert clinical care. They can make an online appointment with a Doctor, Physio, Dietician and Speech and Language therapist all based in Ireland anytime through the award-winning Vhi app. Members utilisation of these services continues to grow. This is a welcome and expected development as we engage with our members to encourage them to proactively look after their health and avail of the many preventative healthcare services we offer.”
Vhi is the only provider in the market that exists solely for the benefit of our members. Any profits made are reinvested on behalf of our members to enhance Vhi members’ healthcare and services.
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