Quinn Healthcare customers who opt to renew their insurance and pay by instalments are being asked to sign a credit agreement. Such an agreement is normally issued when a loan is being drawn down.
The company says this is the way things are done in the insurance market. However, its two competitors in the Irish health care market - VHI and Vivas - do not operate such agreements.
The Financial Regulator says so long as the correct information is issued - as required by Consumer Credit Act - the company is not doing anything wrong.
The National Consumer Agency says the matter is an issue for the Financial Regulator, or the Competition Authority if it has anti-competitive implications.
A spokesperson for regulatory affairs in the Health Insurance Authority has said it had never heard of credit agreements being entered into and the HIA will be looking into the matter.
VHI says it just divides the price of premium by 12 and does not charge for payment by instalment. The situation is the same at Vivas.
In October 2007, Quinn Healthcare announced the introduction of a 3% credit charge for members who choose to pay by instalments. This credit charge was effective from January 1 2008.
