Health insurer Vhi has announced an average price increase of 3% across its health insurance plans due to the sustained rise in the number of people accessing healthcare and the associated costs of delivering this care.
Vhi said there was a 12.5% increase in private hospital claims costs last year compared to 2023.
Vhi is the largest health insurer in the market with 1.2 million customers.
It raised prices by an average of 7% last March and by 3.5% last October and its latest increase is effective from March 1.
In a statement, Vhi said healthcare costs continue to rise as more people are accessing essential healthcare services.
The cost of delivering these services has also risen, driven by increased costs in private hospitals, associated healthcare professional costs and the increasing costs of day-to-day care.
It said this trend is not unique to Vhi and health insurers here and abroad are facing similar challenges.
Aaron Keogh, Managing Director, Vhi Insurance, said he understands that Vhi members are experiencing cost of living pressures, adding that the company has made every effort to keep the price increase as low as possible without compromising on benefits or increasing excesses.
"We have also maintained 25% off child rates on a range of our plans. Our members value their health insurance, and we are committed to providing them with more value and even better support to help them manage their health and wellbeing," Mr Keogh added.
