Vhi reveals losses of €3.1m for 2010
Vhi Healthcare has announced a loss of €3.1m after tax for the 12-month period that ended on December 31, 2010.
The company's annual report revealed that Vhi Healthcare saw its deficit fall as compared with their deficit after tax of €41.7m in 2009.
In January - the insurer provoked uproar among its customers when it raised its rates by as much as 45 per cent on some policies.
In 2010, Vhi Healthcare spent €1.307 billion on the healthcare needs of its customers.
This figure is down almost 1.4% on the previous year, principally because of reductions in rates per procedure paid to private hospitals (3%) and consultant fees (5% with effect from July 09 and a further 10% with effect from July 10) and the fact that there was no increase in the cost of private beds in public hospitals in 2010.
While the total healthcare expenditure is down, the healthcare delivered increased by 8% and the average healthcare spend per customer was €935 compared to €905 in 2009.
Jimmy Tolan, Chief Executive, Vhi Healthcare, said: "While the financial performance in 2010 was an improvement on 2009, we still incurred significant underwriting losses of €25 million and we still have to improve our annual performance by €60m in order to fund our customers’ healthcare needs and also to meet the requirements of the Central Bank and European Commission in due course."
It is urging the Government to overhaul the tax credits for people over 60, 85% of whom are insured by Vhi.
