The insurance industry in Ireland is facing troubling times, which may translate into higher rates for consumers. The Irish Patients Association has spoken out about the coming health insurance rate increases coming from several insurance companies. The IPA claims that rates are rising so quickly that they may make it impossible for families to hold on to their policies. The consumer advocacy organization says that if the problem is not addressed legislatively, health insurance will become unaffordable within the next few years.
This week, Aviva Health Insurance and VHI Healthcare announced that they would be raising their rates for coverage. Aviva plans to raise rates for some 350,000 policyholders by an average of 15%. VHI Healthcare’s rising premiums will target corporate insurance plans, but the costs associated with the policies may cause several businesses to make cuts to the benefits they offer employees.
According to the IPA, insurance prices have risen by more than 100% in the past few years and are steadily gaining momentum. Irish insurers echo the claims coming from the health insurance industry in the U.S., where insurers claim that higher rates are due to the costs associated with medical care. The IPA is petitioning regulators to step in and take action for the sake of consumers, but the government has, thus far, been slow to act.