Sean Barrett (Independent) | Oireachtas source

Yes.

We have known for a long time that the VHI has hidden behind its older profile of patients in order to impose levies on its competitors. This is another bailout today. I have raised several times in the House the Milliman report, which states:

While it is undoubtedly true that VHI has an older and (arguably) sicker population than its competitors, we believe limited focus has been given to utilisation management and investing in ways to manage claims that can yield savings regardless of the risk profile of its population. ... In all our discussions with VHI, there was minimal emphasis on issues around managing the quality of care given to patients and hence reducing claims cost by limiting inappropriate treatment with no proven medical benefit. Our experience in other markets and our data analysis leads us to believe this is likely to be a source of considerable potential savings.

We have relieved VHI of these efficiencies by continually asking the other companies to bail it out. While this report is heavily redacted, we see on page 31 that it states VHI’s admission rates are too high and there is an average length of stay of 10.6 days when the report estimates it would be 3.7 days in a well-managed system.

When we raised these points, the Government side said the McLoughlin report would answer some of this. However, it appears the Minister has acted before the McLoughlin report. We need to debate that urgently in the House. McLoughlin, who had previously implemented interesting reforms in local government, was to address these issues. The Leader has agreed that the use of the phrase "gold-plated" in the budget was inappropriate as over 90% of people will pay more because of the wish to clamp down on gold-plating. The gold-plating is in the VHI organisation. The consumer is not protected by the Health Insurance Authority, which has been captured by the VHI company. If we have universal health care in that system, the VHI will have the ability to tax everybody in the country. Now, it just imposes taxes on the rest of us who are not members of VHI. It is an entirely inappropriate way to run the health insurance market. We have been condemned in the Irish courts and the European courts. We need to find ways other than continuously supporting the VHI with money transferred from its competitors. There must be better ways to run the health insurance system. We were hoping Mr. McLoughlin would have a chance to report on these issues and we need to debate what he has to say. However, it seems to me that the permanent government in the Department of Health will always defend VHI when it badly needs some competition.