BUPA decision another body blow for Harney
– PDs oversee collapse of competition in health insurance market
Commenting on BUPA’s decision today to withdraw from Ireland, Green Party Health spokesperson John Gormley TD said: “Today’s news is a body blow for Mary Harney’s health strategy. BUPA had given Minister Harney plenty of notice of their intentions, yet she chose to ignore the reality.
“Her intention to introduce greater competition to the health insurance market has failed. BUPA’s exit now leaves the VHI with an unchallengeable monopoly. Under the circumstances it would be most unwise for the VHI to be allowed to privatise.
“Today’s decision should also prompt Mary Harney to revisit the question of risk equalisation. While the concept of community rating and risk equalisation makes sense, the methods of implementing them need to be examined. In particular, BUPA’s proposal to the Dáil’s health committee that patients, rather than money, be transferred between insurance companies in order to balance risk should now be examined in greater detail.
“I welcome the fact that at the very least, those insured by BUPA will continue to be covered until the renewal of their premium.”
December 15th, 2006 at 7:00 pm
John we need to attack the whole concept of ‘privatising’ and ‘making competitive’ what is basically a optional social service upgrade to which people can buy in. Ideally we should not need a buy-in A-stream; we need an NHS. But given that a buy-in facility is being offered, a single one is best, as it minimises the overheads, and is under socio-political control, as a natural monopoly. It can offer various grades of additional service, and the VHI does this. Any ‘improvement’ in this due to competition would be offset by the additional overheads of of the competing bodies, and the amount of profilt bled out of the system. So the effect of privatising and competition would be to increase the price to the user, and undermine the service provided. It is a natural social monopoly. The whole philosophy of introducting ‘competition’ to services which are natural monopolies under social control needs to be attacked. Public transport is also a natural monopoly, and its problems should be addressed by having a democratic control structure representative of users, with power to exercise quality control at the principal nodes of the route system, and strategic control over its development, linked to urban planning and the local authority.
RoyJ
December 19th, 2006 at 11:44 am
Mary Harney has the arrogance to claim that her actions will not cost her perty any votes. As an elderly BUPA member I can assure her it will, and I will actively campaign at the next election to get her and her rip off crew out of government.
December 19th, 2006 at 5:49 pm
This has been the toughest decision I’ve ever been involved in because for 10 years we’ve built up a business that I’m really proud of, and to be forced to walk away now is devastating.
We didn’t want to be forced out of Ireland but we had no choice which is what we’ve been trying to say to everyone for some time. We’ve been trying to find a solution to this problem for ten year. When this scheme was brought in 2003 we warned this would happen but no one would listen. If we stay the reality is that we lose money.
My biggest concerns are my colleagues and our members. We will continue to look after our members’ health care until their policies are due for renewal and I’ll be doing everything I can to help our people in Fermoy and Dublin
I didn’t like having to make a decision like this so close to Christmas but the timing was not of our choosing.
My 300 colleagues in Fermoy and Dublin can be very proud of what they’ve achieved over the past 10 years and they know I am proud of them. We’ll be doing everything we can to make sure they’re looked after.
Martin O’Rourke