Leo Varadkar (Dublin West, Fine Gael)
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Question 180: To ask the Minister for Health and Children the Competition Authority's recommendations regarding private health insurance that have been implemented by her Department to date; the recommendations she will implement in the future; the recommendations she will not implement; and if she will make a statement on the matter. [12956/08]

Mary Harney (Dublin Mid West, Progressive Democrats)
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The Competition Authority submitted its report on the health insurance market in January last year. The Authority made 16 recommendations to improve competition in the health insurance market. This report was one of three reports received in early 2007. Others were submitted by the Health Insurance Authority (HIA) and the Barrington Group. The recommendations contained in all three reports were considered by the Government on 24 April 2007 and the Government made a number of decisions concerning the health insurance market based on recommendations in all three reports.

Five of the recommendations of the Authority concerned VHI attaining authorisation or related matters. The Voluntary Health Insurance (Amendment) Bill recently passed by the Dáil and due for final consideration by the Seanad tomorrow provides accordingly. Seven recommendations related to the HIA's oversight of the market covering consumer information and awareness, switching, enhancing its powers, employer deduction arrangements, the use of the health status weight in the Risk Equalisation Scheme and moving to a prospective risk equalisation system.

The HIA continues to run media campaigns covering consumer issues and to address this and other consumer matters on its website. In addition it has recently reached agreement with the industry on providing more information in renewal notices. The question of the use of the health status weight in the Risk Equalisation Scheme is a matter for the HIA. The question of assigning additional legislative powers to the Authority is under consideration. Recommendations were also made covering the minimum benefit package and the sale of limited cover plans. On foot of the Government's consideration of the three Reports, the HIA is currently undertaking a detailed study on the extent to which community rating should apply and it is also considering the Competition Authority's recommendation on moving to a prospective risk equalisation system.

I have written to the Chairman of the VHI concerning the Authority's recommendation relating to VHI's travel insurance. VHI has had discussions with the Financial Regulator on this issue. The Authority also recommended that entitlement to the three year exemption from risk equalisation payments be clarified. Having regard to that recommendation and related recommendations made in the other reports considered by the Government, legislation removing the exemption was enacted last year. The Department has also written to the employers representative body concerning the manner in which salary deduction mechanisms operate.

The bulk of the recommendations made in the Reports from the Competition Authority, the Health Insurance Authority and the Barrington Report have already been implemented, or are in the process of being implemented or being given consideration.