3787. Deputy Peter 'Chap' Cleere asked the Minister for Health if she will seek a review of whether the current Lifetime Community Rating system remains appropriate for the economic circumstances facing the squeezed middle; whether the balance should shift from a future age-related loading towards positive incentives or tax relief that help people afford and maintain insurance when they actually need it; and if she will make a statement on the matter. [62864/26]

As Minister for Health, I am responsible for the legal framework governing the voluntary private health insurance market, which operates under the principles of community rating (including lifetime community rating), open enrolment, lifetime cover and minimum benefits. The purpose of community rating is to ensure that everyone in Ireland can buy the same insurance policy for the same price, regardless of their age or health status. As a result, older or less healthy people pay the same premium as younger and healthier individuals.

Lifetime Community Rating (LCR) was introduced in 2015 to encourage earlier participation in, and continued support for, the community-rated market. Younger people tend to claim less and a balance between younger and healthier people and older and sicker people contributes to the sustainability of the community rated private health insurance market overall.

Under Lifetime Community Rating, a loading of 2% per year applies to individuals entering the health insurance market for the first time at age 35 or older, up to a maximum of 70% for those aged 69 and over. Where a loading applies, previous periods of inpatient health insurance cover are considered and may reduce the level of loading applied to the premium. It is important to note that any loading applies for a maximum period of 10 years.

While affordability remains an important consideration for all consumers, any proposals in this area must be assessed in the context of maintaining the key principles of community rating, open enrolment, lifetime cover and minimum benefits. Moving towards age-related pricing or other forms of risk-rating would be inconsistent with these principles. The current arrangements support intergenerational solidarity and underpin the operation of the community-rated market. There are no current plans to review the operation of Lifetime Community Rating in private health insurance.