Lenihan criticises BUPA threat to exit Irish market
Junior Health Minister Brian Lenihan has criticised threats by the private health insurance firm BUPA to withdraw from the Irish market.
Reports this morning said the company had threatened to withdraw if the Government accepted a recommendation that it be forced to subsidise the VHI, its state-owned rival.
The reports said the Health Insurance Authority was set to recommend the move because BUPA is allowed to cherry-pick profitable customers, while the VHI has to provide cover to everyone who wants it.
Asked about the matter today, Mr Lenihan said: "For a number of years now, we've been trying to balance the need to protect the VHI because the VHI do cover every age group.
"There has to be some element of community rating protected in the insurance market. Otherwise, any company can come in here, cherry-pick the persons who are not at any great risk and leave the VHI with unsustainable liabilities."
