The Minister for Health and Children has been encouraged to impose a levy on people over 35 years-of-age who decide to take out a health insurance policy for the first time.
Mr Dermot Ryan, chief executive of the Health Insurance Authority (HIA) - which was set up in 2001 to regulate the private health insurance sector - said he supported the proposal which was contained in the Department's White Paper on Health insurance.
The Authority said it favoured a "percentage loading for each year above the threshold age at which a consumer first enters the market, subject to a maximum loading applicable."
Prior to imposing such a scheme the Authority recommended an actuarial review of the private health insurance market to determine the optimal threshold age, level of loadings and maximum loadings.
The HIA added that consumers who previously held insurance cover which has lapsed should be given credit for this. The Authority recommended that consumers be given certificates at the end of each year of cover, with insurers maintaining electronic records of prior cover for as long as is necessary.
Mr Ryan made his comments as the Authority launched a comparative on the insurance packages offered by BUPA and the VHI.
The consumer guide does not suggest which schemes offer the best value for money. It concentrates on explaining the costs and benefits associated with products sold by the insurers. A copy of the document is available from the HIA.
The HIA stressed that the comparison is not exhaustive and notes that BUPA plans to introduce a 8.25 per cent premium rise from March 1st.
