Brendan Ryan (Dublin North, Labour)
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211. To ask the Minister for Finance the number of private health insurance policies that will be directly affected by the measures announced in budget 2014; the VHI plans that will be affected; the percentage of VHI policies this represents; and if he will make a statement on the matter. [46793/13]

Brendan Ryan (Dublin North, Labour)
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212. To ask the Minister for Finance the VHI insurance plans that will not be affected by the measures announced in budget 2014; and if he will make a statement on the matter. [46794/13]

Michael Noonan (Limerick City, Fine Gael)
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I propose to take Questions Nos. 211 and 212 together.

I am advised by the Revenue Commissioners that based on 2012 data, the most up to date data available, it is estimated that up to 577,000 policy holders, which provide cover for 1.1 million individuals, may be affected by this measure. The Revenue estimate is based on an analysis carried out on the annual returns and the gross premium prices (i.e. before tax relief at source is applied) submitted by the Health Insurers in respect of the 2012 tax year. However, it should be noted that many will only be affected marginally, depending on the cost of the policies that individuals purchase. In addition, individuals can of course opt for less expensive policies and therefore avoid the impact of this measure entirely.

The new ceilings will ensure some continuing support via the tax system for those who purchase medical insurance policies, while reducing Exchequer exposure to more expensive policies.

Pricing of insurance premiums, and consequently the policies that are affected by the introduction of the new ceilings for tax relief, is a matter for health insurers. As the information requested in respect of the VHI is of a commercially sensitive nature, I am informed by the Revenue Commissioners that their obligation to observe confidentiality for taxpayers and small groups of taxpayers precludes from providing the information requested.