The Chief Executive of health insurance company, VIVAS Health, has said there should be no risk equalisation payments to Vhi Healthcare until its dominance of the market is reduced.

Speaking on RTÉ Radio's Morning Ireland, Oliver Tattan described the current risk equalisation policy as 'far too draconian'.

Last night, the Quinn Group confirmed it is to go ahead with the takeover of BUPA Ireland, despite emergency legislation by the Government to close a loophole on risk equalisation payments.

Mr Tattan said policy should be focused on getting more competition into the market, and that risk equalisation should only be triggered when Vhi's market share drops below 50%.