VHI to raise health insurance premiums by 3% from March
Kenneth Fox
VHI has announced it is increasing premiums by an average of 3 per cent, taking effect on March 1st.
The health insurer says the cost of delivering healthcare continues to rise, and private hospital claims costs rose by around 13 per cent last year.
As the Irish Examiner reports, the increase will see VHI's AdvancedCare Day to Day plan for two adults and two children rise by more than €35 per month to €6,946.57.
Meanwhile, its PMI 35 13 plan will increase by more than €16 per month for a family of four to €4,852.44.
VHI confirmed that its PublicPlusCare plans will not be affected by the increase.
The State-owned health insurer said the rise was necessary to meet members’ healthcare needs, citing continued increases in demand and the cost of delivering essential services.
The move marks a third price increase in the past year, following an average 3 per cent rise in March 2025 and a further 3 per cent increase in August.
In 2025, private hospital claims costs rose by approximately 13 per cent, while the volume of private hospital claims increased by about 8 per cent compared with 2024, the company said.
They said this reflected sustained growth in demand and higher care costs, driven by medical inflation, an ageing population, and the introduction of new drugs, procedures and technologies.
Aaron Keogh, managing director of VHI Insurance, said: “Whilst the biggest contributors to overall claims costs continue to be cancer care, orthopaedic treatments, cardiac care, digestive conditions and psychiatric care, our members have access to healthcare in more ways than ever before, not only in hospitals but also through day care and ambulatory settings.”
“The rising demand for healthcare and the increasing cost of delivering it mean that we must adjust our pricing accordingly. We recognise that health insurance is a significant financial outlay for our members, so we will continue to provide a range of plans at different price points to suit differing needs and budgets.”
VhI, the State’s largest health insurer, returned to profit in 2024, recording a net surplus of €36 million. The company said this came despite higher claims payouts and increased premiums.
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