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Dáil
‹ Ceisteanna — Questions. Oral Answers. - Health Service Financing.

Health charges and VHI membership

Summary

Woods argued higher health contributions could reduce disposable income and harm VHI membership and income. Creed expected no decline, citing continued subscriber growth after earlier contribution increases.

asked the Minister for Health if she expects that the increased health charges which the Coalition are introducing will result in a decline in (a) the number of subscribers and (b) the annual income of the Voluntary Health Insurance Board.

Comment on this

The schemes of the Voluntary Health Insurance Board are basically there to meet the needs of those who wish to opt for private care and this consideration is not affected by a change in the rate of health contributions. In the past, the introduction of the system of health contributions, and modifications made in that system did not affect the development of the Voluntary Health Insurance Board, and I do not expect that the further changes now proposed in the scheme of health contributions will result in a decline in the number of subscribers or in the income of the board.

Comment on this

Will the Minister not agree that the Voluntary Health Insurance Board are one of our most successful semi-State bodies and that up to this point their membership and income have been increasing? Further, will the Minister not agree that the amount of disposable income available for health insurance will be reduced for individuals because of the very large health charges being made? For example, there will be a charge of £250 per annum for a person with an income of £10,000. Will the Minister not agree that this curtailment of disposable income could have a serious effect on the membership and income of the VHI? Will he give any encouragement or assistance to the VHI Board in the preparation of measures that will offset the decline that could result from the measures taken at the current time?

Comment on this

I do not envisage any decline in the membership of the VHI. More than anyone else in the House the Deputy is aware that even with the increased contributions in the past few years there was an increase in the number of subscribers to the VHI. I do not see any reason why that trend should be reversed.

7.

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