Q – I have heard you talk on radio about prioritising when it comes to expenditure – cancel the least important. We are at that stage now with 2 children under the age of 3 and one “bread-winner” and is it now time to drop health insurance? It really is a case of watching every cent. Any advice ? Jerry – Rathmines Dublin 6
A – Thanks for the question Jerry – you are right about the prioritisation. The annual budget is all important, especially at the start of the year. When you review your expenditure and pare until you can pare no more, your two choices are earn more or cut costs – which may not be possible .. but you can prioritise…. Cut out the least necessary of your expenditure. It might be the pay channels, the regular lattés with your friends or it might be, like the 300,000 members over the last 5 years, their health insurance premiums. In fairness to the insurance companies whose hands have been somewhat tied by government regulation, they are doing what they can to come up with alternatives for families that are hard pressed and simply can no longer afford the luxury of health insurance. VHI are the latest to increase their premiums by 3%.. For comparisons of the three health insurances, check the Health Insurance Authority at www.hia.ie but watch out for special deals. Can be confusing – VHI alone have 93 different plans, so choosing can be difficult let alone comparing the other two insurers but go compare anyway – better in your pocket.