Brian Hayes (Dublin South West, Fine Gael) | Oireachtas source

I will record the content of the note and then we can have a discussion on it. In the case of new contracts entered into and renewed from 1 January 2013 to 30 March 2013, the rate will be €95 for each insured person aged less than 18 years and €285 for each insured person aged 18 years and over. In the case of new contracts entered into and contracts renewed after 30 March 2013, the rate will be based on the level of cover as well as the age of the insured person. For each insured person aged less than 18 years, the rate for non-advanced cover will be €100. For a person aged less than 18 with advanced cover the rate is €120. For a person aged 18 years and over with non-advanced cover the rate is €290. For a person aged 18 years and over with advanced cover the rate is €350. The section also amends the due dates and accounting periods by which the levy must be paid, in effect making the due date the 21st day of the second next month after the end of the accounting period. For example, the due date for the accounting period 31 March 2013 to 30 June 2013 is 21 August 2013. This levy on health insurers is part of an overall package of risk equalisation measures to ensure the availability of affordable private health insurance.

I am aware that this was the subject matter of a debate last night and on Tuesday. I am also aware of concerns about people leaving the schemes. There is a reality around that. The key issue for the Government is the question of risk equalisation. Under the principle of community rating, which all sides of the Oireachtas support, everyone is charged the same premium for health insurance plans irrespective of age, gender, current risk and the likely future state of a person's health. Community rating means the level of risk a particular consumer poses to an insurer does not directly affect the premium paid. That is the intention behind the section. I share Deputy McGrath's concerns, as does everyone, about those who are leaving schemes. If we are committed to risk equalisation and community rating, we must implement this model.