Stamp duty on health insurance policies reduced
The health insurance regulator has cut the level of stamp duty on all health insurance policies next year.
The move should result in around three quarters of consumers paying €18 less for their policies in 2024, provided the saving is passed on to them by their providers, which the Health Insurance Authority (HIA) says they should.
“We estimate that at this particular time of year, over 50% of people are renewing their health insurance, and we would hope that consumers see this saving in their renewal premium,” Ray Dolan, CEO of the HIA said.
“Of course, we would always encourage people to review their existing policy and see is it meeting your health needs. You can compare all plans on hia.ie,” he added.
Stamp duty collected each year is used to support the community rating system which allows everyone, regardless of their health status and other risk factors, to buy the same health insurance policy at the same price.
The HIA said the recommendation to reduce the stamp duty is based on recent trends in the industry and consultation with the companies providing cover.
It added that its view is that after a number of health insurance price increases this year, providers should incorporate the reduction in stamp duty into their pricing so that consumers can feel the full benefit.
According to the HIA, 2.44 million people had health insurance in Ireland at the end of last year.
That is 47.6% of the total population, and is up 3% on the previous year.