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

As I have said in the Chamber before, there is a figure of 250,000. It is also the case that 250,000 people lost their jobs, 250,000 extra medical cards were issued and 250,000 people gave up their health insurance. I did not say they were all one and the same people, but there must have been some relationship.

I accept that the cost of private health insurance has increased. I have striven to keep it down and encouraged the VHI in that regard. As the main insurer, the VHI's increase this year has only been 3% despite the removal of some of the tax subsidy. The cost of the subsidy to the taxpayer two years ago was €400 million. It was €450 million last year and would have been €500 million this year. How much further were we to allow it to go? Pressure had to be brought to bear on that. The private inpatient charge does not reflect anything like the true cost of a bed. The private insurer will still make a profit.

I have no doubt that with improved regulation from a Health Insurance Authority with more teeth to act, allied with the national pricing office, which is now up and running on an administrative basis, we will get much better value for money for people who are insured privately.

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