Laya Healthcare said today it will increase premiums across its schemes by an average of 6.6% from 1 April.
It said its new pricing will include an increase in the Government levy on health plans which now accounts for about one third of premium prices.
Laya said the advanced levy will increase by €49 per adult and €16 per child from April 1, which is an additional €130 for a family of two adults and two children.
Laya said its overall claim costs have risen by 29% in the past two years, with demand significantly growing across private and high-tech hospitals.
It paid 13.4% more in private and hi-tech claim costs last year compared to 2023, with the increase driven by a rise in cardiology, orthopaedic, ophthalmic and cancer claims, all of which are up by an average 20%.
Meanwhile, drug costs in private and hi-techs have increased by 31%.
Laya also noted that long waiting lists and overcrowding in the public system are pushing more patients to private and hi-tech hospitals, driving up costs unsustainably.
D.O. O’Connor, Managing Director of Laya Healthcare, said a review of premium pricing was necessary to ensure that it can meet the healthcare needs of members both now and into the future.
“Our priority is to deliver fast access to healthcare across urgent care, diagnostic scans, prevention screenings and high-cost drugs but the challenge we face is that healthcare is costing more to deliver today than ever before in the history of the State and the issue is being compounded with demand at an all-time high,” he said.
The Health Insurance Authority said today that the price of health insurance policies in Ireland increased by 11% on average in the first three quarters of 2024.
“We are aware that many consumers are facing price increases when they renew this year. These ongoing price increases can be attributed to a continued rise in healthcare costs as well as a sharp increase in demand for healthcare,” the HIA said.
It said is encourages all consumers to review their plan each year before they renew and to consider shopping around and switching.
Many consumers can find better value by shopping around or for example, increasing their excess, or lowering cover for benefits that they don’t use, or by putting different members of the family on different plans based on their own individual health needs, it added.
