Pat Breen (Clare, Fine Gael)

I thank the Ceann Comhairle for allowing me the opportunity to raise this important matter. The announcement by the VHI of an increase in premia of between 15% and 45% from 1 February is a major blow to many families who are already struggling to cope in this recession. It has struck great fear into elderly people, many of whom are covered under the company's plan B and plan B Options schemes. Their premia are set to rise by €317 and €444 euro, respectively, for a single adult.

I am disappointed the Minister for Health and Children is not in the Chamber to address this issue. She is never there when she is wanted. How can elderly people be expected to afford these additional payments? Older people have worked hard throughout their lives and have paid their VHI premia for decades so that they could enjoy a good quality of life in their latter years. Now they face the prospect of having to cancel their insurance.

Middle Ireland has been dealt a series of hammer blows by the Government, particularly by way of the austerity measures introduced in last December's budget. Huge financial pressures have been heaped on middle-income families. More than 70,000 people cancelled their private health insurance last year and these latest price hikes will drive more people into a public health system which is already in crisis. In recent weeks an unprecedented number of patients have been left for days on trolleys in our crowded accident and emergency departments.

Fine Gael proposes the introduction of a universal health insurance scheme that would end the two-tier system. In the meantime, the drive away from health insurance will result in even longer waiting times on trolleys, more crowded accident and emergency departments and longer waiting lists.

The VHI argues the hikes are necessary because it is losing €850 for each of its 129,000 customers who are over 70. Two years after the Government's risk equalisation scheme was shot down by the Supreme Court, the Government has failed to act. The Minister for Health and Children claimed the introduction of levies and tax credits would obviate the necessity for price hikes but the policy has quite simply failed. Will the Minister of State clarify the position tonight? When will the risk equalisation legislation come before the House? Our health spokesperson, Deputy Reilly, has called on the Minister to publish the Milliman report into the VHI's costs. I support the Deputy in that regard.

My constituency office has been inundated with calls from concerned constituents since the price hike was announced. Several people have questioned the cost of hospital care and have asked whether the VHI is too quick to sign off on bills. For example, a man told me yesterday he received a bill for three nights after having spent one night in hospital. The VHI paid the bill without questioning it. Other people are simply astonished and angry. On the very day we heard the VHI chief executive announce the price hikes, he refused to state whether his salary was cut. According to the VHI's annual report of 2009, his pay was approximately €410,000. I will be very interested to hear what he has to say when he appears before the Joint Committee on Health and Children later this month. Surely it is time the Government led by example by capping public sector salaries at €200,000 per annum.

Taxpayers are entitled to see the Milliman report. After all, they paid for it. It will show significant savings can be made and it should be published without delay. The Minister should make contact with the VHI. It must not be allowed to increase its charges while the report remains unpublished. VHI customers, particularly the elderly and middle-class families, are facing weeks of sleepless nights worrying about their health care. If the Minister does not act, it will be another major blow for families.

The reality is that the buck stops with the Minister for Health and Children. I am disappointed she is not present in the House to answer questions on this issue of real concern for members of the VHI.

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