Arthur Morgan (Louth, Sinn Fein)
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Question 254: To ask the Minister for Health and Children the estimated annual cost of increasing the number of years for which a person entering the labour market can keep their medical card from three to five as recommended by the National Economic and Social Forum Report Creating a More Inclusive Labour Market 2006. [31164/07]

Mary Harney (Dublin Mid West, Progressive Democrats)
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The Health Service Executive has detailed operational guidelines in place for the assessment of medical card applications. The purpose of these guidelines is to ensure that every person entitled to a medical card or GP visit card is given the opportunity to avail of their entitlement and that there is a consistency of approach to means-testing nationally. The guidelines include provisions dealing with persons in receipt of certain allowance/benefits, for a period of 12 months or more, who are entitled to retain their medical card for 3 years on taking up employment. These include persons receiving Job Seekers Allowance and Job Seekers Benefit.

My Department does not hold data which would enable it to assess the effect, and hence estimate the cost, of increasing the number of years from 3 to 5 for which a person entering the labour market may keep their medical card, as recommended in the 2006 Report by the National Economic and Social Forum titled 'Creating a More Inclusive Labour Market'. However, based on a recent medical card costing exercise undertaken by my Department, on foot of a Parliamentary Question, it is estimated that the average annual cost of providing a medical card to a person aged between 18 and 65 years is approximately €1,200 per annum. Accordingly, the estimated average additional cost of allowing a person with full eligibility and entering the labour market to keep their medical card for five years instead of three is approximately €2,400.

This figure does not take account of the following:

Potential additional cost in terms of income forgone by public hospitals in respect of A&E attendance and in-patient charges;

The possible cost, depending on the circumstances of a person retaining a medical card, of such benefits as aids and appliances;

Costs in other areas of Government in which the holding of a medical card may be used as a means of determining entitlement to services or benefits.

The Programme for Government commits to the following:

Indexing the income thresholds for medical cards to increases in the average industrial wage;

Doubling of the income limit eligibility of parents of children under 6 years of age, and trebling them for parents of children under 18 years of age with an intellectual disability;

Allowing people with disabilities to work without losing key essential medical card cover after 3 years;

Implementation of an annual publicity campaign and making applications easier so as to increase uptake amongst those who are eligible for Medical Cards and GP Visit Cards.

My Department is at present considering the most appropriate approach to the implementation of these commitments.