Bupa decision to quit Ireland

Madam, - Contrary to the suggestion in your Editorial of December 15th, Bupa would never threaten governments, nor would we …

Madam, - Contrary to the suggestion in your Editorial of December 15th, Bupa would never threaten governments, nor would we play games with the lives of the people who work for us or with the lives and health of our members. To suggest otherwise is very damaging. Bupa Ireland is part of an international business which operates to the highest standards of governance and values.

When the present risk equalisation scheme was prescribed in 2003 on foot of legislation introduced in 2001 we warned that our business would become unviable if it were implemented and that we would be forced out of the market. Unfortunately this has come to pass.

The suggestion that we "focused on younger, more profitable members" is also untrue. We are, in fact, the only insurer to have actively advertised - successfully - for members over the age of 65 (including in your newspaper).

Our products have always been community rated and available to all, including the elderly, at lower prices than those of our competitor. We leave with great regret and a very heavy heart. - Yours, etc,

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SEAN MURRAY, Director of Marketing, Bupa Ireland, Fermoy, Co Cork.

A chara, - Figures speak louder than words. I joined a Bupa group scheme in the UK in 1980. In 2004, on the first annual review date after my reaching 65 years of age, I was "no longer eligible to remain as part of this group" and was transferred into the over-65s scheme of the same group.

I was also politely informed that there was an immediate increase of 216 per cent in my monthly subscription.

Ní gá focal sa bhreis a rá. - Is mise,

IOGNÁID  Ó MUIRCHEARTAIGH,  Bóthar Muinchille, An Cabhán.

Madam, - I hope I am joining a growing chorus of outrage. I am nearing 65 and am currently insured with Bupa, at a rate which is approximately 67 per cent of what VHI is quoting. Who is going to take me when my contract expires? And more importantly, at what rate, now that VHI effectively has the market to itself? If the logic of "risk equalisation" were to pertain, then VHI should be able to undercut my current Bupa rate, especially as the level of its subsidy is to increase - paid for by us the taxpayer, incidentally.

I am convinced that when Bupa introduced some semblance of real competition to the health insurance market, VHI saw its cosy, inefficient and overpriced monopoly threatened. It activated its many tentacles into Government and sold this "risk equalisation" concept to the powers that be, resulting in little-noticed legislation being passed, which led to the recent court decision. The net result is a return to the monopolistic bad old days, when entire sectors of trade and commerce were divvied up between a clique of highly placed "pals".

The suggested break-up of the VHI into two semi-state bodies underlines the contempt this government has for the electorate: Do they really believe we are stupid enough to buy the idea that two such bodies will compete with each other? - Yours, etc,

Dr ROBERTO SIBBEL, Rathkeale, Co Limerick.

Madam, - This Government has taken great pride in market forces. These forces apparently have led us to affluence, which in turn has caused us to be stuck in gridlock and burdened with high mortgage payments. Why, then, is there such surprise and such whining when Bupa plays by the rules of the much lauded market? - Yours, etc,

MARGARET LEE, Newport, Co Tipperary.