Seanad debates

Wednesday, 16 December 2009

Social Welfare and Pensions (No. 2) Bill 2009: Committee Stage (Resumed)

 

8:00 pm

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)

I was asked the reason people pay PRSI and contribute to the social insurance fund. People largely do so to secure protection by way of the State pension and unemployment assistance, even if most of us do not envisage becoming unemployed. The attitude of most people is that they pay into the social insurance fund to obtain a pension when they retire. One of the side benefits of these contributions is the treatments to which people have had access.

The social insurance fund will be in deficit by the middle of 2010 and the scheme will require subvention to the tune of €1.2 billion. For this reason, we must try to find savings. We announced we would curtail rather than close this scheme for one year and the decision will be reviewed next year.

I accept the advances that have been made in oral hygiene and sight. When I met representatives of dentists and opticians they told me the item they wanted to maintain most was the examination because it indicates if there is a problem or disease. We heard a wonderful story on radio this morning about a lady who had a brain tumour identified during an eye test. This protection will continue to be afforded.

Some of the figures Senator Norris cited were duplicated because a person who had a filling may also have had an extraction. We envisage that approximately 400,000 people will claim for a dental examination and 200,000 will claim for an optical examination in 2010.

As most people are aware, competition in the optical industry has been intense in recent years. One can now have an examination done for as little as €15 and glasses are available at low prices. We have not seen this type of competition in the dental area where there has not been a reduction in prices. Perhaps these measures will prompt moves in the right direction and result in increased competition, which would not be any harm.

The Department envisages achieving savings of approximately €54 million from the scheme next year. By retaining the examinations, people will continue to undergo eye tests and oral examinations which can identify ongoing problems.

On Senator Buttimer's question, if a treatment commences before the end of the year, the full treatment will be covered. Prior approval for any treatment must be obtained by the dentist from the Department. Once approval has been secured, the dentist may commence the treatment. As such, the measures will not impact on those in the position set out by Senator Buttimer.

Senator Norris referred to preventable diseases. The Department accepts the progress made in this area and as a result of fluoridation. All these measures have had a major impact. However, the social insurance fund is in deficit and we need to make savings, while seeking to protect the basic scheme. These measures protect the examinations and provision of hearing aids. In addition, those on low incomes may obtain optical and dental treatment on the medical card. The measures relate to those who avail of treatment on the basis of their PRSI payments.

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