Laya health insurance policies set to rise by average of 6%

Laya Healthcare blames rise on increases in cost and volume of claims from both public and private hospitals

The cost of health insurance with Laya Healthcare is to increase by an average of six per cent across many of its plans the company announced on Friday afternoon.

Ireland’s second largest health insurance provider blamed continued, sustained and significant increases in cost and volume of claims from both public and private hospitals are the main drivers for the price increases.

Between 2013 and 2016 the company said it had seen a 44 per cent increase in its overall claims volumes, with an increase of 37 per cent on these overall claim costs.

In the same three-year period, Laya has seen a significant and measurable increase in claims arising from public hospitals, largely as a result of the Public Bed Re-designation Charge. In that time, the business has experienced an overall increase of 38 per cent in the cost of claims from hospitals, with a parallel increase of 27 per cent in the volume of claims.


There were also continued increases in the cost and number of claims from private hospitals, with an increase of 34 per cent in the cost of claims from 2013 to 2016.

The price increases will start coming into effect from July 1st also individual policy holders will not see any increase until their next renewal date.

Company also announced price reductions averaging three per cent across a small number of its plans.

Laya managing director Dónal Clancy said the company was “mindful of the impact this adjustment will have on our members and we’ve tried to minimise the product review across our schemes”.

He said the “sustained cost implications of the Public Beds Re-designation Charge is being felt by every health insurance provider in the market. These charges will continue to drive the cost and volume of public hospital claims, with a negative knock-on impact on the cost of health cover. We remain concerned at the manner in which Private Insurance Patient Forms are being presented to patients in public hospitals. Before signing the form it is imperative people are made aware that they are waiving their right to be treated as a public patient.”

Conor Pope

Conor Pope

Conor Pope is Consumer Affairs Correspondent, Pricewatch Editor