Aviva Health Insurance has announced plans to increase its premiums by an average of 4% from the end of next month.
While certain plans will be unaffected by the changed, some will see their premiums increase by as much as 6.4%.
Aviva said the rise is due to the increased cost of claims for some treatments and the impact of the Government’s health insurance levy.
Under the legislation, which is due to come into effect on 31 March, insurers must also categorise plans as either “advanced” or “non-advanced” depending on their level of private hospital cover.
Customers on Aviva’s “advanced” Level 2 Family Health Plan will see a price rise of 6.3%, however prices for its “non-advanced” Health Starter product will remain unchanged.
In a statement the company’s Managing Director Alison Burns said the company was “acutely aware” that many customers were struggling to cover the cost of health insurance and they had tried to minimise price increases as a result.
Prices had also been maintained on many entry-level products, she said, with a total of 27 plans unaffected by the changes.
Aviva is the latest in a series of health insurance companies to increases its rates due to rising costs, with a reduced number of customers also impacting on prices.