James Reilly (Dublin North, Fine Gael) | Oireachtas source

I have to reject the Deputy’s statement that this is a damning indictment of the HIA. The spread is not better because the market is segmented. The HIA would have to be given much stronger powers if it were to be in a position to prevent this. That matter is under consideration.

The HIA’s role in the health insurance market has changed considerably in recent years. Its workload has increased substantially since its establishment owing to the changing nature of the private health insurance market. We are considering its role as part of the implementation of a universal health insurance system. I intend to have a review carried out in the coming months to assess the current role and functions of the HIA, with a view to determining how they can be strengthened and enhanced to fulfil any requirement that may arise when the universal health system is in operation.

The €8 million fund that the Chairman mentioned cannot be frittered away. The HIA has a significant amount of work to do. It will need to take on more personnel to do the work involved in monitoring and correcting what is happening in the insurance business. As a universal health insurance system is introduced, we want to make sure we have proper controls at regulator level with regard to matters such as the pricing of packages, etc. There is a need for clarity.

In fairness to Deputy Denis Naughten, the idea of engaging with Age Action Ireland and other bodies on how to communicate better with older people is a good one. I will ask the HIA to take it on board and consider running information campaigns to encourage older people to shop around. As Deputies have said, older people are reluctant to change. There is no question about this.

I would like to respond to the contention discussed with regard to non-advanced and advanced policies. At the end of March this year, when we brought forward the new Act, there were 20 non-advanced policies. The number of such policies is now 34. It is open to the market to offer more of these products. As we all know and as I said previously, these companies make their profits from younger people who do not get sick. Perhaps they are not using these profits to attract more young people.

We do not know what Laya’s gross capital investment is, but we know from last night’s programme that it has made a profit of €5 million. There is a great deal of money in the health insurance market and I do not believe for one minute that VHI is being over-compensated.

it seems Deputy Billy Kelleher wants to second-guess the HIA and the European Commission. By the way, the Commission’s report has been published, although the HIA’s report has not.