Health insurance company Vhi has today reported higher gross earned premiums for 2022 on the back of rising customer numbers.
Vhi said it added an additional 23,400 health insurance customers last year, bringing its total membership to 1,177,600.
It said its gross earned premium for private health insurance for the year rose to €1.6 billion from €1.589 billion in 2021 driven by the increase in members.
The health insurance company reported a net surplus of €34.3m from consolidated business activities, down from €65.3m in 2021.
It said the fall was due to the increase in claims volumes and costs, the reduction in market values of its investment portfolio and increased operating costs as Vhi invests in healthcare and technology.
Meanwhile, total claims paid in 2022 amounted to €1.425 billion, an increase of 10% on 2021.
It said the cost of meeting customers' needs increased in the second half of the year as demand for healthcare services returned to pre-pandemic levels.
There was also an increase in the costs associated with the delivery of healthcare due to increases in wage, energy and other costs, including infection control.
Vhi said that income from its other insurance products and services including Vhi MultiTrip, Vhi Dental, Vhi International and Vhi Life grew to €37.8m, an increase on the €26.2m recorded in 2021.
It said the country's emergence from Covid-19 restrictions helped drive growth, with its MultiTrip's insurance offering recording a steep recovery in demand and closing out the year with over 327,000 customers.
Vhi increased its premiums by an average of 4.8% across its health insurance plans from March 1.
"At Vhi, we are committed to helping our customers live longer, stronger, healthier lives and this will be achieved by investing in the development of a unique integrated healthcare model. Our financial strength underpins our ability to deliver on this and these results show that our business continues to perform well," Brian Walsh, Vhi Group's CEO, said.
"Overall in 2022 there was an increase in claims volumes, a welcome development as it means our customers are now better able to access healthcare services to meet their needs on a timely basis, following the challenges of the previous two years," Mr Walsh said.
"Vhi exists solely to meet the healthcare needs of our customers and all premium income received is dedicated to delivering and meeting the healthcare needs of our customers and patients," he added.
Vhi noted that a third premium waiver was made to customers in March last year, reflecting reduced access to healthcare and services. Over the course of the global Covid-19 pandemic, Vhi returned €450m to customers.
