Wednesday, January 04, 2012
Government announces measures to improve affordability of Private Health Insurance for Older People
The Minister for Health Dr. James Reilly has announced changes to the Private Health Insurance system which will help to make Private Health Insurance (PHI) more affordable for older people. With the agreement of the Minister for Finance, Mr. Michael Noonan TD, there will be extra age-related income tax credit for insured persons aged 60 years and over, from 1 January 2012. This credit is provided as a tax relief at source – that is, the cost of the policy is reduced by the amount of the age- related income tax credit. The age- related credit is in addition to the standard rate income tax credit on all health insurance policies. The new rates will be included in the forthcoming Finance Bill.
The measures are designed to result in no overall increase of premiums paid in the market and to spread the risk more evenly between the healthy and the less healthy, the old and the young.
These measures are being taken under the Government’s Interim Scheme of Risk Equalisation.
Minister Reilly said:
Health insurance is becoming harder to afford for older people as insurers increasingly tailor their insurance plans towards younger, healthier customers. The Government is strongly committed to protecting community rating, whereby older and less healthy customers should pay the same amount for the same cover as younger and healthier people. The changes I am announcing will provide further necessary support to community rating. Community rating of health insurance is at the very heart of our system. It will remain so under Universal Health Insurance. The PHI market has become increasingly segmented over recent years with insurers offering tailored packages to younger people that are designed to be unattractive to older people, while at the same time increasing the price of plans they offer to meet the needs of older people. I am very unhappy about this trend and I have raised the issue directly with the insurers. This measure I am announcing today is designed to support the protection of older, less healthy people.
The Minister said that the action he is taking now is in line with his plans to move to a system of Universal Health Insurance from 2016. Under UHI, everyone will be insured for health care, and the current unfair distinction between public and private patients will be removed. In the meantime, the Minister is focusing on addressing the problems of the current Private Health Insurance market, where insurers have a considerable financial incentive to cover younger, better risks rather than older, poorer risks.
A key concern for the Minister will be to reduce the cost of claims experienced by health insurers, so that we can achieve a more cost effective market with greater competition. Minister Reilly said:
I firmly believe that health insurers have the scope to reduce their costs significantly, and I am happy to work with them to identify how this can be done. Costs in recent times have been allowed to increase unnecessarily and I want to see these brought back to more sustainable levels in order to keep health insurance affordable for as many people as possible. The Consultative Forum on Health Insurance which I announced last week has great potential in this regard.
The Minister said that the legislation passed earlier this month extended the present Interim Scheme of Risk Equalisation for a further year, into 2012. The increased rates to be applied under the scheme from 1 January 2012, which he is now announcing, will ensure that insurers have greater incentive to offer policies aimed at older customers.
The analysis carried out by the Health Insurance Authority, which makes recommendations on the rates that should be applied each year, estimates that the changes will have only a modest impact on insurance premiums. The increased support for community rating will mean an average rise of approximately €30 for insurers with the better risks in the market and a corresponding fall of some €30 per insured person for those with poorer risks. Any negative impact on premiums paid by the consumer would be further reduced by 20% due to the standard rate income tax credit on all health insurance policies. The Minister will shortly announce details of a new permanent Risk Equalisation Scheme to be introduced from 1 January 2013. This will build further on the impact of the Interim Scheme to close further the gap between costs in insuring older and younger customers. It will continue the objective of making health insurance more affordable for older people.
The Minister today announced revised rates for 2012 which will increase the support levels in respect of older customers, so that health insurance will be made more affordable for them. Without this support, health insurers have a strong financial incentive to ‘segment’ the market by offering policies targeted at younger people. This has the effect, if unchallenged, of driving a wedge between young and old, the healthy and the less healthy. It means that insurers can make huge profits on younger, healthier lives while charging more and more for the very policies which older people need. The revised rates have been recommended by the industry regulator, the Health Insurance Authority and they are summarised in the table below. The table shows the tax credits by age group, which are funded by a community rating levy on every health insurance policy.
It is important to emphasise that, even with these changes there is a significant additional cost for an insurer to insure an older person. For example, these measures will reduce the average net claims cost to an insurer for an 80 year old from €1,580 in 2011 to €835 approximately in 2012. Under UHI it would be the intention to ensure that these additional costs are shared as evenly as possible across the population. The overall impact of the measures is designed to Exchequer neutral.
VHI STATEMENT:
Vhi Healthcare response to changes to the Levy and Age Related Tax Relief at source - Welcomes increased support for the healthcare costs of older customers 4th January 2012 - Vhi Healthcare has welcomed the Department of Health’s announcement regarding amendments introduced for 2012 to the levy and age related tax relief at source system in the private health insurance market calling it a step in the right direction to safe-guarding the future of community rating and therefore keeping health insurance affordable for all.
According to Declan Moran Chief Executive, Vhi Healthcare “Today’s announcement, while by no means 100% effective in funding the healthcare costs of older customers, is a step in the right direction towards the implementation of a proper risk equalisation scheme to under-pin the social policy of community rating. Community rating was intended to ensure that the cost of healthcare should be shared proportionately by everyone who was insured. A robust and effective risk pooling system is absolutely essential to protect community rating and support older customers. As the Government moves toward the implementation of a universal health system this is an absolute imperative.”
Recent figures from the HIA show that at the end of September 2011, some 2,174,000 customers or 47.5% of the Irish population had private health insurance. Vhi Healthcare has 1,246,000 customers or 57%; Quinn Healthcare has 458,000 customers or 21%; Aviva Health Insurance has 382,000 customers or 18%; and restricted membership undertakings have 88,000 customers or 4%. Competition remains solely focused on younger lives and the most recent HIA statistics support this view. Vhi Healthcare’s market share has consistently fallen and this has been mainly in the younger age groups. Quinn Healthcare and Aviva Health Insurance combined currently have 47% of market share in the 30 to 39 years age group but only 9% of the over 80s. Vhi Healthcare now has eight times the proportion of members in the over 80 years age group than Quinn Healthcare has and six times the proportion in this age group that Aviva Health Insurance has.
According to Declan Moran, Chief Executive, Vhi Healthcare “In order to have a truly competitive marketplace you need to regulate the market in such a way that it is equally attractive to insure an 80 year old as it is to ensure a 30 year old. It is only then that you will see the market function correctly. As it stands new entrants to the market basically cherry pick younger customers leading to market segmentation and ultimately older customers paying more.“
The measures are designed to result in no overall increase of premiums paid in the market and to spread the risk more evenly between the healthy and the less healthy, the old and the young.
These measures are being taken under the Government’s Interim Scheme of Risk Equalisation.
Minister Reilly said:
Health insurance is becoming harder to afford for older people as insurers increasingly tailor their insurance plans towards younger, healthier customers. The Government is strongly committed to protecting community rating, whereby older and less healthy customers should pay the same amount for the same cover as younger and healthier people. The changes I am announcing will provide further necessary support to community rating. Community rating of health insurance is at the very heart of our system. It will remain so under Universal Health Insurance. The PHI market has become increasingly segmented over recent years with insurers offering tailored packages to younger people that are designed to be unattractive to older people, while at the same time increasing the price of plans they offer to meet the needs of older people. I am very unhappy about this trend and I have raised the issue directly with the insurers. This measure I am announcing today is designed to support the protection of older, less healthy people.
The Minister said that the action he is taking now is in line with his plans to move to a system of Universal Health Insurance from 2016. Under UHI, everyone will be insured for health care, and the current unfair distinction between public and private patients will be removed. In the meantime, the Minister is focusing on addressing the problems of the current Private Health Insurance market, where insurers have a considerable financial incentive to cover younger, better risks rather than older, poorer risks.
A key concern for the Minister will be to reduce the cost of claims experienced by health insurers, so that we can achieve a more cost effective market with greater competition. Minister Reilly said:
I firmly believe that health insurers have the scope to reduce their costs significantly, and I am happy to work with them to identify how this can be done. Costs in recent times have been allowed to increase unnecessarily and I want to see these brought back to more sustainable levels in order to keep health insurance affordable for as many people as possible. The Consultative Forum on Health Insurance which I announced last week has great potential in this regard.
The Minister said that the legislation passed earlier this month extended the present Interim Scheme of Risk Equalisation for a further year, into 2012. The increased rates to be applied under the scheme from 1 January 2012, which he is now announcing, will ensure that insurers have greater incentive to offer policies aimed at older customers.
The analysis carried out by the Health Insurance Authority, which makes recommendations on the rates that should be applied each year, estimates that the changes will have only a modest impact on insurance premiums. The increased support for community rating will mean an average rise of approximately €30 for insurers with the better risks in the market and a corresponding fall of some €30 per insured person for those with poorer risks. Any negative impact on premiums paid by the consumer would be further reduced by 20% due to the standard rate income tax credit on all health insurance policies. The Minister will shortly announce details of a new permanent Risk Equalisation Scheme to be introduced from 1 January 2013. This will build further on the impact of the Interim Scheme to close further the gap between costs in insuring older and younger customers. It will continue the objective of making health insurance more affordable for older people.
The Minister today announced revised rates for 2012 which will increase the support levels in respect of older customers, so that health insurance will be made more affordable for them. Without this support, health insurers have a strong financial incentive to ‘segment’ the market by offering policies targeted at younger people. This has the effect, if unchallenged, of driving a wedge between young and old, the healthy and the less healthy. It means that insurers can make huge profits on younger, healthier lives while charging more and more for the very policies which older people need. The revised rates have been recommended by the industry regulator, the Health Insurance Authority and they are summarised in the table below. The table shows the tax credits by age group, which are funded by a community rating levy on every health insurance policy.
It is important to emphasise that, even with these changes there is a significant additional cost for an insurer to insure an older person. For example, these measures will reduce the average net claims cost to an insurer for an 80 year old from €1,580 in 2011 to €835 approximately in 2012. Under UHI it would be the intention to ensure that these additional costs are shared as evenly as possible across the population. The overall impact of the measures is designed to Exchequer neutral.
VHI STATEMENT:
Vhi Healthcare response to changes to the Levy and Age Related Tax Relief at source - Welcomes increased support for the healthcare costs of older customers 4th January 2012 - Vhi Healthcare has welcomed the Department of Health’s announcement regarding amendments introduced for 2012 to the levy and age related tax relief at source system in the private health insurance market calling it a step in the right direction to safe-guarding the future of community rating and therefore keeping health insurance affordable for all.
According to Declan Moran Chief Executive, Vhi Healthcare “Today’s announcement, while by no means 100% effective in funding the healthcare costs of older customers, is a step in the right direction towards the implementation of a proper risk equalisation scheme to under-pin the social policy of community rating. Community rating was intended to ensure that the cost of healthcare should be shared proportionately by everyone who was insured. A robust and effective risk pooling system is absolutely essential to protect community rating and support older customers. As the Government moves toward the implementation of a universal health system this is an absolute imperative.”
Recent figures from the HIA show that at the end of September 2011, some 2,174,000 customers or 47.5% of the Irish population had private health insurance. Vhi Healthcare has 1,246,000 customers or 57%; Quinn Healthcare has 458,000 customers or 21%; Aviva Health Insurance has 382,000 customers or 18%; and restricted membership undertakings have 88,000 customers or 4%. Competition remains solely focused on younger lives and the most recent HIA statistics support this view. Vhi Healthcare’s market share has consistently fallen and this has been mainly in the younger age groups. Quinn Healthcare and Aviva Health Insurance combined currently have 47% of market share in the 30 to 39 years age group but only 9% of the over 80s. Vhi Healthcare now has eight times the proportion of members in the over 80 years age group than Quinn Healthcare has and six times the proportion in this age group that Aviva Health Insurance has.
According to Declan Moran, Chief Executive, Vhi Healthcare “In order to have a truly competitive marketplace you need to regulate the market in such a way that it is equally attractive to insure an 80 year old as it is to ensure a 30 year old. It is only then that you will see the market function correctly. As it stands new entrants to the market basically cherry pick younger customers leading to market segmentation and ultimately older customers paying more.“
Tuesday, January 03, 2012
Road Closure, Hammondtown at Curragha Village
MEATH COUNTY COUNCIL
Temporary Closure of Roads
Roads Act 1993
(Roads Regulations 1994)
Meath County Council hereby gives notice of its intention to temporarily close the following road: the L-50161-9 from its junction with the N2 at Hammondtown to its junction with the R155 at Curragha village.
This closure is necessary to facilitate Eirgrid’s East West Interconnector Project.
Duration:
The intended road closure is from 30th January 2012 to 21st February 2012.
Alternative Routes:
The diversion route is as follows:
Traffic normally travelling north-west on L50161-9: Travel north along the N2 to the traffic lights at Primatestown. Turn left at the traffic lights and travel along the R155 to arrive at the end of the closed road at Curragha crossroads.
Traffic normally travelling south-east on L50161-9: From Curragha crossroads, travel north along the R155 to the traffic lights at the N2. Turn right at the traffic lights and continue south on the N2 to arrive at the end of the closed road.
Diversion signs will be in place.
Local Access:
Access for residents and property holders will be facilitated throughout the closure period.
Road Closure, Kilbrew and Cabinhill
MEATH COUNTY COUNCIL
Temporary Closure of Roads
Roads Act 1993
(Roads Regulations 1994)
Having given notice, Meath County Council has made an order to temporarily close the following road: the L-5016 from its junction with the L-50161 / L-5033 at Kilbrew to its junction with the L-1006 at Cabinhill;
This closure is necessary to facilitate Eirgrid’s East West Interconnector Project.
Duration:
The intended road closure is from 4th January 2012 to 24th January 2012.
Alternative Routes:
The diversion route is as follows:
Southbound traffic: At Kilbrew, take the L-50161 from its junction with the L-5016 / L-5033 to its junction with the R155 at Curragha, turn right onto the R155 and continue to its junction with the L-1006-15 at Ratoath, turn right onto the L-1006-15 and continue to its junction with the L-5016 at Cabinhill.
Northbound traffic: At Cabinhill, take the L-1006-15 to its junction with the R155 at Ratoath, turn left onto the R155 and continue to its junction with the L-50161 at Curragha, turn left onto the L-50161 and continue to its junction with the L-5016 / L-5033 at Kilbrew.
Diversion signs will be in place.
Local Access:
Access for residents and property holders will be facilitated throughout the closure period.
Friday, December 23, 2011
bikingdirty.com - Interview with Ratoath BMX Club's Shay and Eamon
Shay McNally and Eamon Wyer from the next exciting BMX track in Ratoath Co.Meath. Ratoath is 10 minute drive from Blanchardtown and now boasts the best BMX tracks in the country. In the last two months alone three new BMX tracks have opened starting with Ratoath then an indoor track in Cherry Orchard and the most recent is Tullamore. This has sparked BMX fever the last 20 years have seen the racing scene fall away to nothing but with hard work and dedication of old veterans and massive help from local communities has seen a great new future for Irish BMX. With the World Champs being held in Birmingham and fast approaching its time to get an Irish team.
"Big support from Regina Doherty our local TD who was behind us from the start"
The full interview is available on http://www.bikingdirty.com/archives/1034
They have also set up a group on their web site dedicated to Ratoath BMX Club click HERE to join
Wednesday, December 21, 2011
Arrival of new Papal Nuncio can herald new era of church cooperation
Fine Gael Meath East TD, Regina Doherty, has said she hopes that the arrival of the new Papal Nuncio to Ireland next month will herald a new era of openness and cooperation within the Catholic Church.
“We’ve come through a difficult period of relations between the Vatican and the Irish State. Much hurt has been caused by past failings, but I believe now is time for us to move on if we want the Catholic Church to survive here in the long term. In my own community, the Church plays a very significant role, and I know there is great will among the Irish public to secure a place in our society for the Church into the future.
“Yesterday, the publication of the final chapter of the Cloyne Report brought to light yet more devastating revelations about the mishandling of abuse allegations by the clergy. However today, we see a more open approach being taken by the Church in a bid to address these failings. It has initiated a new scheme which allows victims to have face-to-face meetings with the bishop who oversaw the Cloyne diocese while allegations went unreported. A similar scheme in the US has had positive outcomes for victims.
“Next month, the newly appointed Papal Nuncio, Monsignor Charles Brown, will begin his time in Ireland, and I hope his arrival will herald a new era of openness and cooperation between the Catholic Church’s hierarchy and its parishioners. The Church needs to engage with its grassroots if the institution is to have a bright future.
“I want to instil a sense of Catholic principles in my children’s lives, and I know many other parents feel the same. But the Church needs to move forward if this is to happen. I am encouraged by the fact that the new Nuncio has worked at the Congregation for the Doctrine of the Faith. I would urge Monsignor Brown to take a fresh approach to his new role; his position will be essential in bridging the divide that has evolved between Irish Catholics and Rome. He needs to talk, he needs to engage, and most of all he needs to ensure he isn’t seen to be disconnected from the concerns of ordinary church goers.
“The Catholic Church once held an authoritarian role within Irish society. Those days are gone. I know there is a strong desire for a new Church to emerge; one that is based on a sense of inclusiveness, warmth and strong moral values. Committed Catholics want this to happen; it’s now up to the new hierarchy to ensure it does.”
Tuesday, December 20, 2011
Six Meath schools to benefit in major building programme
Fine Gael Meath East TD, Regina Doherty, has welcomed the news that construction will be progressed on six schools in Meath in 2012. The Minister for Education and Skills, Ruairi Quinn TD, announced a total of 56 major school building projects today as part of the €430 million educational infrastructure plan for next year.
“I am delighted to receive confirmation from Minister Quinn that construction will progress at six Meath schools over the coming year. Dunshaughlin Community College will benefit from an extension and refurbishment project, while new schools will be provided for the boys and girls at Realt na Mara in Mornington.
“New school buildings are being provided at Scoil Naisunta Mhuire in Moynalty and Scoil Naisunta Mhuire Naofa in Enfield, while an extension and refurbishment project will be completed at the Drogheda Grammar School.
“This follows on from a number of school building projects in Meath which have been completed over the last year. In my own village of Ratoath, a new school built for St Paul’s NS. A new school was also built at Scoil Eoin National School in Navan, and extension works were carried out at Scoil Naomh Barra in Wilkinstown.
“I am sure that all of the pupils, teachers and parents involved in all of these schools will be delighted with today’s announcements. New buildings and extensions will provide top class facilities for students and staff alike.
“Over the next five years the Government will spend €2 billion on major school building projects. We are planning ahead to cater for the expected growth of 70,000 pupils in enrolment at primary and secondary level between now and 2018. This level of spending demonstrates the Government’s commitment to prioritising education provision during this time of austerity.”
Thursday, December 15, 2011
Pyrite homes must be exempt from household charge – Doherty
Fine Gael Meath East TD, Regina Doherty, has urged the Minister for the Environment, Phil Hogan, to ensure that houses affected by pyrite will be exempt from the household charge.
“I have been pursuing this issue with the Minister over recent months. The Government has been left with no option but to introduce a household charge, to meet the terms of the EU/IMF agreement. But the Government does have some choice over who they choose to exempt from the charge.
“A number of exemptions have already been announced including social, voluntary and co-operative housing, owners of houses entitled to mortgage interest supplement and owners of houses in certain unfinished housing estates. I have made several representations to the Minister, urging him to extend these exemptions for owners of houses which have been affected by pyrite.
“Thousands of homes across the country, which were built during the boom years, have been badly affected by pyrite. The people living in these homes have had to deal with raised floors, swollen and cracked walls and jammed doors and windows.
“It would be of significant relief to these homeowners if they did not have to pay the €100 household charge. It would be completely unjust to impose the charge on people who already feel their homes are sub-standard, and in some cases, unliveable. I hope the Minister will take this into consideration when making up his mind on this matter.”
Introduction of roadside drug testing will save lives – Doherty
Fine Gael Meath East TD, Regina Doherty, has said that the introduction of roadside drug testing will help to save lives. Deputy Doherty made her comments today (Monday) following confirmation of the move from the Minister for Transport, Leo Varadkar.
“We have come a long way in recent years in improving safety on our roads. This latest measure, as announced by Minister Varadkar, will strengthen the power of Gardai to assess drivers and determine whether they are under the influence of any drugs that would impair their driving ability.
“Driving is a complicated task at the best of times. It’s essential that there is a general understanding amongst the public that certain drugs affect your concentration and inhibit your capability behind the wheel.
“It’s already an offence to drive under the influence of drugs, but these new laws will allow Gardaà to conduct roadside tests, making it easier to detect drug driving. Members of the Gardaà have been trained in the new procedures by the Medical Bureau of Road Safety. New legislation is being drafted and Minister Varadkar hopes to introduce the measure in the New Year.
“While a range of illegal drugs such as cannabis and cocaine have a significant impairing effect on driving, some prescription drugs can also affect one’s ability. There’s an onus on GPs to ensure their patients fully understand the effects of certain medication. I would encourage anyone in any doubt about the side effects of medication they may be taking to contact their local doctor or pharmacist.
“The objective of this new measure is clear; to save lives. Any driver who fails the roadside impairment test, or who appears to be under the influence of drugs, will be arrested and brought to a Garda Station. This sends out a strong message that being under the influence of any intoxicant behind the wheel will not be tolerated.”
Statutory regulations needed to combat below cost alcohol - Doherty
Fine Gael TD, Regina Doherty, has said that statutory regulations are needed to address the ongoing problem of the below cost selling of alcohol, particularly in large supermarkets which use alcohol as a loss maker to attract customers.
“This is a complex area, which I feel very strongly about. There are a number of elements of this problem which we need to examine individually; namely alcohol marketing, pricing and availability. Alcohol consumption has risen rapidly in this country in recent years as a direct consequence of the widespread availability of cheap drink.
“Alcohol abuse is having a hugely detrimental effect on our society. Alcohol causes about 100 deaths per month, accounts for a third of all emergency department attendances and about 7% of GP visits. The impact on our younger generations is even starker; one in four deaths of young men is due to alcohol. That is a shocking and deeply disturbing statistic, and I believe there is an onus on the Government to tackle this issue head on.
“It should come as little surprise that we have such a spiralling problem with alcohol in this country, when one considers the proliferation of cheap drink in major supermarkets. 80% of all wine is sold in supermarkets. How can we stand over a system that allows two bottles of wine to be sold for €5? Price is just one part of the problem; we also need to look at the marketing of alcohol. Major retailers are investing large sums of money to advertise below cost alcohol, simply to get customers in the door. They appear to be taking no responsibility for the consequences of these actions.
“I understand that a Steering Group, set up within the Department of Health is due to report back to the Minister in the coming weeks, and I am encouraged by comments from Minister of State, Roisin Shorthall, that she will consider introducing a minimum price for alcohol. We need a comprehensive policy approach to this issue, and I would hope that statutory regulations could be introduced to sufficiently police this area. We cannot continue to close our eyes to the devastating damage alcohol is having on our society.”
Subscribe to:
Posts (Atom)