Irish households faced a substantial increase in health insurance costs last year, with premiums jumping by almost €146 despite a slowdown in insurance claims, according to the industry regulator.
The annual market report from the Health Insurance Authority (HIA) revealed that insurers collected an additional €400 million from premiums in 2024 compared to 2023, as the average plan cost rose by 12.2%. Some plans saw increases of up to 25%, continuing the trend of escalating health insurance costs in Ireland.
According to The Irish Examiner, the report indicates that 46% of the population—approximately 2.52 million people—currently have health insurance, paying an average premium of €1,740. However, growth in the number of insured individuals is declining, with the regulator citing cost as a key factor behind this trend.
“Our research shows that affordability is the main reason consumers choose to cancel their health insurance plans as many consumers are under financial strain and can’t sustain the current rate of price increases alongside other increasing costs and inflation,” said HIA Chief Executive Brian Lee.
While there was a modest 1.3% increase in the overall number of insured people compared to 2023, the percentage of children with health insurance has dropped to 21.6%, down from 23% in 2019.
The total income from health insurance premiums now stands at €3.6 billion, representing a €400 million increase from the €3.2 billion recorded in 2023. The HIA attributed this rise to premium price increases and “moderately increasing” numbers of people purchasing health insurance.
Notably, after a significant post-pandemic surge in claims, the volume of health insurance claims appears to be leveling off. Claims increased by just 6% in 2024, compared to 15% in 2023. While claims for treatment in private hospitals rose by 2% in 2024, claims for public hospital treatment decreased by 2% during the same period.
The regulator noted that although there are 338 active inpatient plans available in Ireland, half of all insured individuals are concentrated on just 32 of these plans. The report also highlighted that over-65s pay an average of 44% more for their health insurance compared to younger age groups, as this demographic tends to choose plans with higher coverage, particularly for orthopedic procedures such as hip or knee replacements.