Vhi to increase prices by average of 2.75% from October

Vhi is to increase the prices of its health insurance policies by an average of 2.75% from the beginning of October.

This will be the provider’s second price rise this year, after it announced a 3% average hike across its plans that took effect in March.

Vhi is the largest health insurance company in Ireland, with around 1.2 million customers – roughly half of the entire market.

The latest increases will see the price of its EnhancedCare 250 plan, which is especially popular among young adults, go up by €22 a year to €1,300 for an adult.

The cost of a policy for two adults and two children on that same plan will increase by around €175 annually.

The hike will also add around €117 a year in cost for an adult on its AdvancedCare Day to Day plan.

The health-insurance provider said the latest increase is “necessary to ensure Vhi continues to meet the healthcare needs of its members as both demand for healthcare services and the cost of delivering healthcare continue to rise”.

According to Vhi, its private hospital claims costs have risen this year by over 9%, with day-to-day care claims costs such as GP, physiotherapy, and consultants increasing by around 14%.

The company said the rise in private hospital costs is “also driven by an increase in claim volumes of over 5% compared to 2025, reflecting the continued growth in the number of members accessing healthcare services”.

Vhi Managing Director Aaron Keogh said the insurer recognises “that health insurance is a significant financial commitment for individuals and families.

“Vhi exists solely for the benefit of our members and in 2025 Vhi paid out €1.84 billion on members healthcare claims,” he noted.

“Any surplus made by Vhi is reinvested to improve member services, enhance benefits, expand access to care and support the delivery of better healthcare. This enables us to continue investing in the healthcare supports and services that matter most to our members,” he added.

Commenting on the planned price hike, Dermot Goode, Director of Health Insurance Ireland, said that depending on the plan, this latest increase could cost an individual an additional €35 to €65 a year. For those on Vhi’s higher plans, the increase could be between €110 and €150 extra a year.

Mr Goode said today’s price hike from Vhi follows the Laya Healthcare increase announced last week and continues a similar trend of insurers increasing their rates in advance of the peak renewal period.

“On a positive note, there appears to be less upward pressure on rates, which hopefully means the days of double-digit cumulative increases may be coming to an end,” he said.

“As with all insurers, Vhi is attributing these increases to the rising cost of claims. Not all of Vhi’s plans are increasing in October, and we can expect further ad-hoc increases between now and the end of the year on many of its corporate plans,” he said.

He said that consumers need to be very careful with the average figures quoted by insurers, as some plans could increase by double the average figure or even more.

“Consumers should also remember the previous rate hikes earlier in the year, which means the cumulative impact could be closer to 7% or even higher,” he stated.

“The message to all consumers is never to simply accept these increases without first engaging with their insurer and challenging them to find similar cover that matches their budget. New plans and deals are being introduced all the time which consumers may not be aware of unless they engage with their insurer by phone,” he advised.