Thursday 22 March 2018

Health insurer Laya to push up premiums for second time this year

Laya’s premiums will rise
Laya’s premiums will rise

Charlie Weston Personal Finance Editor

HEALTH insurer Laya is to push up the cost of premiums for the second time this year.

The insurer is to increase rates by an average of 7pc from the start of July.

It will mean families having to pay between €100 and €290 extra when they renew their cover.

The latest rises will see its popular Essential Connect Health plan rise by 11pc. This will mean an extra €290 for a family of two adults and two children renewing on this plan.

Health insurance broker Dermot Goode of said most plans were going up in price.

Laya, which has around 500,000 customers, increased prices of its popular Essential Connect Family plan by 14pc from May 1.

It also ended its free cover for second and subsequent children on seven plans from May 1.

Company boss Donal Clancy blamed the latest increases on the cost of those with health cover using public hospitals.

Laya said it has experienced a 26pc increase in the cost of claims from public hospitals, and a corresponding 10pc increase in the volume of claims from public hospitals, which can be directly attributed to the public bed re-designation charge.

A measure brought in back in 2014 allows public hospitals to charge people who have private health insurance for a stay in hospital, whether they get private treatment or not.

Someone who gets no more than a hospital trolley can end up being charged as a private patient, if they sign a form acknowledging their have health insurance.

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