Olivia Mitchell (Dublin South, Fine Gael)
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Question 494: To ask the Minister for Health his plans for the Voluntary Health Insurance Board; and if he will make a statement on the matter. [24653/11]

James Reilly (Dublin North, Fine Gael)
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The Programme for Government provides for the VHI to remain in State ownership in order to provide a publicly-owned health insurance option when the new system of Universal Health Insurance (UHI) is introduced. As part of preparations for the introduction of UHI, I have consistently voiced my concerns about the dominance of the VHI in the private health insurance market and my intention to take action to address this. Earlier this year I appointed a consortium consisting of Goodbody Stockbrokers and Matheson Ormsby Prentice Solicitors to undertake a review of options for rebalancing the private health insurance market. The project has been completed and I am currently considering the consortium's report before deciding on next steps.

I am also very conscious of an imminent ruling by the European Court of Justice which will be announced by the Court on 29 September 2011. The case relates to the VHI derogation under the Third Non-Life Insurance Directive, which exempts VHI from the requirement to be authorised as an insurer by the Central Bank of Ireland. The ruling of the Court will have implications for the future status of the VHI and my Department has been working for some time on measures to prepare for the outcome, whatever that may be. I plan to discuss the matter with my colleagues in Government shortly and I will make a further statement once the ruling of the Court is known.