The number of people buying health insurance has dramatically fallen, according to new figures from the Health Insurance Authority (HIA).
The HIA said that just 7,318 people purchased a health insurance policy between January and March, compared to 13,633 in the third quarter of last year.
Rising prices of health insurance have been blamed for the drop in the numbers taking out private health insurance.
Just over 2.5 million people in Ireland have private health insurance.
In April, the average price of health insurance increased 12.2% or almost €146 to €1,740 last year, according to the annual market report from the Health Insurance Authority (HIA).
Some plans have become as much as a quarter (+25.6%) more expensive, and people over the age of 65 pay 44% more for coverage than the average due to higher costs, in particular for orthopaedic procedures such as hip or knee replacement surgery.
But now the HIA is saying the average cost of a plan has in fact risen to €1,929, which is an increase of almost €200 compared with the average price for 2024.
There are 342 plans on the market, with four new plans added in the last quarter.
The HIA said the lower number of new policies continues a recent trend of reduced growth, with its 2024 Annual Market Report showing an increase in coverage of 1.3% between 2023 and 2024.
It also noted a further decrease in the number of children insured at 21.6% (down from over 23% in 2019).
HIA Chief Executive Brian Lee said that "although health insurance continues to be a very popular product purchased by almost half of the population, rising prices could potentially be affecting further growth in the market.
"At an average cost of almost €2,000, it may be that many potential consumers no longer choose to buy private health insurance due financial pressures or other considerations," he said.
Mr Lee added that "shopping around is the best way to save money on health insurance, and with a lot of consumers renewing their plan in July we recommend reviewing your plan now to see what you're covered for and what you actually use".
The HIA says that looking for a plan with a higher excess can be a good way to save money, in addition to reviewing your plan and reducing cover for benefits you do not use.
