I propose to take Questions Nos. 2351, 2352, 2353 and 2354 together.
As Minister for Health, I am responsible for the legal framework governing the health insurance market in Ireland. This is a voluntary market operating under the principles of community rating, open enrolment, lifetime cover and minimum benefit.
Community rating ensures that everyone can buy the same policy at the same price, regardless of age, gender or health status. This is enabled through the Risk Equalisation Scheme. Under the Scheme, funds are distributed in the form of credits to compensate insurers for the additional cost of insuring older and sicker members. The credits are funded by a stamp duty levy paid into the Scheme by health insurance providers for each policy issued. Risk Equalisation credits and associated stamp duty levies are adjusted annually and carefully calibrated to maintain community rating.
The private health insurance market operates on a competitive, commercial basis. Insurers set their premiums in line with their own commercial decisions and strategies, within the framework of the Health Insurance Act, as amended.
Insurers typically set their prices based on expected claims for the coming 12 months. Premium increases are driven by a range of factors including medical inflation (which includes the introduction of new high-tech treatments), staffing costs within the private healthcare sector and professional and hospital fees. These fees are negotiated between insurers and providers. Other factors considered include claims experience, benefit changes, and operating costs.
While increases to stamp duties may affect insurance premium costs, stamp duty is a ring-fenced contribution to the Risk Equalisation Fund and supports the credits needed to enable community rating, fairness and sustainability in the voluntary private health insurance market.
How any individual insurer adjusts premiums following changes in market conditions or the Risk Equalisation credits or stamp duty levies remains a commercial matter for that insurer. As Minister for Health, I have no role in the commercial decision-making of private health insurers, including decisions on premium prices.
The Health Insurance Authority maintains regulatory oversight of insurers and ensures compliance with community rating, open enrolment, and lifetime cover requirements, which helps to keep the health insurance market fair, accessible and sustainable for all consumers. The Authority’s functions include monitoring the health insurance market and developments in health insurance generally, and advising me in relation to these matters. The Authority publishes regular market reports and bulletins on premium levels, market share and consumer trends.
The data published by the Authority is not renewal-specific and supports an ongoing assessment of premium trends and consumer impacts at a market-wide level. It is not possible to isolate the exact impact of the Risk Equalisation Scheme from other commercial changes on private health insurance premiums.
The market share of the main private health insurance companies as at the end of September 2025 was published by the Authority in its Quarter 3 Market Report, as follows:
• Level Health: 0.8%.
• Irish Life Health 20.4%.
• Laya 28.1%.
• Vhi 48%.
The Health Insurance Authority is obliged to consider fair and open competition in the health insurance market when preparing its annual report to me evaluating and analysing returns from the health insurers. The Health Insurance Authority also provides a free online comparison tool that allows individuals to compare active plans in the market and prioritise coverage categories based on their needs. The comparison tool and the Authority’s reports, including copies of its quarterly market reports, are available on its website, www.hia.ie. Responsibility for competition enforcement in the private health insurance market rests with the Competition and Consumer Protection Commission (CCPC).
As of Quarter 3 2025, 2.54 million people hold private health insurance in Ireland, representing an increase of 13,166 from Quarter 2 and the insured population continues to grow. The entry of a new company into the Irish health insurance market at the end of 2024 has the potential to strengthen competition in the sector and benefit consumers.