VHI BOSS JIMMY TOLAN is refusing to say whether he took a pay cut last year, amid growing anger over the insurer’s decision to hike health insurance costs by up to 45%.
The insurer announced details of its 2011 price increases yesterday which will see customers paying between 15% and 45% extra on their premiums when they renew their cover this year.
The price hike kicks in on 1 February.
The Irish Examiner reports that Tolan, who was paid €412,003 in total for 2009, has repeatedly refused to answer questions about his salary in 2010.
Interviewed on RTÉ’s News at One yesterday, Tolan said he didn’t believe public hospitals were giving value for money for VHI members and that the insurer faces losses of €100m next year on the two insurance plans which are facing the highest premium increase. VHI said yesterday that it had taken steps over the past two years to cut its costs, including wages, by €15m.
Tolan said he didn’t believe the increases would have a profound impact on the VHI’s customer base, but did expect to lose some customers.
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