The European Court has dismissed a case taken by the British health insurer BUPA against the risk equalisation scheme in Ireland.
Under the scheme, private health insurers have to make payments to the Vhi to compensate it for having an older and higher-risk client base.
The payments are designed to protect the situation whereby everybody pays the same for health insurance, regardless of their age and health risk.
BUPA claimed the European Commission was wrong to approve the scheme, which it says is anti-competitive.
VIVAS Health says it is disappointed with today's ruling, but the VHI says the judgement is good news for customers because it ensures they will continue to get health insurance at fair prices as they grow older.