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

The effect of this amendment would be to introduce an element of flexibility to the agreed 12% return on equity ceiling above which an insurer would be deemed to be over-compensated. I agree that only efficient insurers should be rewarded and to this end, I am committed to maximising cost efficiencies across the market. All of the insurers are working with the Health Insurance Authority and my Department through the Consultative Forum on Health Insurance under the stewardship of Mr. Pat McLoughlin to reduce costs across the industry. Given that European Commission approval was provided for the risk equalisation scheme for 2013 to 2015 on the basis of the 12% ceiling, it would not be appropriate to introduce an additional measure at this stage.

Therefore, I cannot agree to this amendment.