What You Need To Know About… Health Insurance

Private health insurance may seem like somewhat of a luxury these days, given falling earnings and rising premiums, but it can be a very reassuring and important investment to make.  From refunds on day-to-day medical expenses to covering expensive scans, a health insurance package can give you the peace of mind that should you fall ill, all you will have to worry about is your recovery, rather than your bank balance. That said, deciding on a suitable package can be an ordeal in itself, with each provider offering a myriad of options. Why do I need health insurance? If you qualify for a full medical card and don't wish to avail of treatment at private hospitals, then you probably don't. If not, a health insurance policy can make a significant reduction to the cost of receiving hospital treatment in the case of an accident or illness. Beds in public hospitals are designated as either public beds or private beds and according to the Health Insurance Authority, a public patient is entitled to free treatment and accommodation, apart from a charge of €80 per day, up to a maximum of €800 in a year. If you are a public patient, you do not have the right to choose your consultant. Private and semi-private hospital care in Ireland is provided for in private hospitals and also in public hospitals. If you opt for private care, you or your insurer must pay for your treatment and accommodation. As of 1 January 2014, hospital charges for treatment and accommodation as a private or semi-private patient in a public hospital are up to €813 per day for a semi-private room and up to €1,000 per day for a private room. Private hospitals are free to set their own charges and you or your insurer will also have to pay medical consultant’s fees. What do I want from my policy? Different policies specialise in different areas so here are some key questions to ask before you attempt to make a choice. 1) Do I want to be reimbursed for day-to-day expenses such as doctor's visits? 2) Am I planning to conceive over the course of the policy? 3) Will I been availing of psychiatric or outpatient services? Once you have decided on the type of ailments that you want to include, the next decision is what level of accommodation you would like to have in your policy. There are two options for this, either fully private or semi-private. Private will give you cover for an individual room in a hospital, while semi-private accommodation could involve sharing a room with up to four other people. Of course, choosing private accommodation will result in a hike in the price of your policy and while health insurance contracts provide cover for a certain level of accommodation, you may receive a lower level if a private room is unavailable. Another thing that differentiates between policies is the type of hospital that is included in the cover. There are three different levels here, including public State-run hospitals, private hospitals and 'high tech' private hospitals such as The Blackrock Clinic, Mater Private and the Beacon Hospital. Which provider should I choose? There are a number of health insurance providers in Ireland at the moment, including Laya Healthcare, VHI, GloHealth and Aviva. Before you choose a policy, log on to www.healthinsurancecomparison.ie, which is an absolute godsend for finding policies that cover your needs and fit into your budget. For example, if you are looking for a semi-private room in a private hospital and allowing for an excess (paying a small sum before your cover kicks in) with a budget of €700, this handy tool suggests a number of plans from Laya Healthcare including their Flex 500 Explore (€656) and One Plan 500 from VHI (€676). The site then allows you to compare the different plans under heading including Inpatient, Outpatient, Maternity, Radiology, Psychiatric and Overseas so that you can clearly see the strong and weak points of each policy. Always be sure to check the excess payment required for each type of treatment or you could end up with an unexpected hospital bill! What else do I need to be aware of? Firstly, any customer has the right to purchase every plan so do you research until you find the fit for you. It is also worth checking if your workplace has a plan with any particular provider as this may result in a substantial discount. The second thing to keep in mind is that most providers implement a waiting period, whereby the cover of your policy does not begin until after a defined period of time. However, this is sometimes open to negotiation and providers occasionally offer instant access as an incentive to attract new customers. Once you have chosen a policy, make sure to read through the fine print to check the maximum cover allowed under each section and any exclusions that will exempt the insurer from making a payment. For more information, check out www.hai.ie.