In announcements today, Eurolife FFH, Generali, and National Insurance announced that they will adjust increases in “lifelong” health policies to single digits compared to the 15% “indicated” by the Health index of the IOBE. Specifically, Eurolife FFH announced that it was adjusting prices to 50% of the increase in the IOBE index, implying an increase of 7.5%, Generali 6.9%, and National Insurance 7%.

Last Friday, Lt. Takis Theodoricakos announced that the IOBE Health Index will cease to be valid for setting the prices of “lifelong” health insurance policies and that ELSTAT will undertake to draw up another index that will serve as a “basis” for next year. However, the minister had also sent messages not to make the large adjustments announced by insurance companies for this year, suggesting that otherwise, the ministry would not hesitate to impose even a cap.

Among other things, Eurolife FFH’s statement reads:

“The company, with a sense of responsibility towards everyone, maintaining the consistency that has governed its pricing policy over the years, but also actively demonstrating once again a particular sensitivity towards the overall situation of the family and personal finances of citizens, has decided for 2025 to set the average premium adjustment of the portfolio of life health plans at 50% of the IOBE health index, while ensuring that the maximum increase per customer will be in single digits.

Eurolife FFH is confident that, following the public debate, the State will ensure that all the parameters of the problem, which arises mainly from the cost of health services in the private sector, as correctly reflected by the IOBE health index, are examined and will take the necessary regulatory and legislative measures for an immediate and fair solution.

The burden resulting from the limitation of premium revaluation will be absorbed by the company, in full respect of the prescribed European Solvency Regulations.

A detailed briefing of the company’s customers on the matter will follow.

In its statement, Generali said:

“Generali, as an organization that has long honored the trust of its customers, fully recognizes the concerns of its policyholders regarding the recent increases in health insurance premiums, which are intensified by the ongoing discussions. As such, we wish to continue to communicate transparently and empathetically the reasons for these increases and the actions we have taken to protect our policyholders.

We understand that the increases pose a management challenge for our policyholders’ family planning. We point out, however, that this is not an arbitrary decision but a direct consequence of the increase in healthcare costs as billed by hospitals to insurance companies. These costs include the development of new innovative therapies, the incorporation of modern medical technologies, and an increase in the frequency and severity of healthcare incidents.

Our Company recognizes the validity of the IOBE index, which objectively captures the economic impact on the healthcare industry. At the same time, Generali’s Management has repeatedly raised publicly the issue of the cost of hospital services, calling for the cooperation of all stakeholders to create a more sustainable and fair system. Moreover, it is worth emphasizing that we have made every effort to absorb a significant part of these increases, reducing the impact on our policyholders, and, despite external pressures, we remain committed to maintaining high-quality healthcare services and supporting our customers.

In this context, we are moving to an annual overall increase of 6.9% on average on our life insurance policies, effective from 01.01.2025 until the end of this year.

At Generali, protecting the health, life, and property of our policyholders is our core mission. We stand by them, honouring their trust, and work tirelessly to offer the best possible solutions tailored to their needs.

We would like to assure our policyholders that we continue to closely monitor developments, work with all relevant stakeholders, and seek viable solutions that ensure both the stability of insurance plans and affordable access to health services.

In its statement, National Insurance said:
“National Insurance, continuing the stance of responsibility that has been followed for 134 years, shows immediate reflexes to the announcements of the State and adjusts its
increases in lifetime healthcare contracts, setting the average increase for 2025 in the region of 7%.

Recognizing the complexity of the issue of service cost increases health care costs and, by extension, health insurance premiums, National Insurance emphasizes the commitment of the company to ensuring the benefit of policyholders and supports the effort to consolidate the entire health and insurance industry, formulating sustainable solutions to control costs and improve health services.

“Always keeping in mind the interests of the insured, we have decided to revise the increases we had originally planned, based on the increase in morbidity and the cost of health services as a whole, as demonstrated by the IOBE’s NCI index. We will absorb the short-term burden that this decision will bring to our results to support the effort to find a sustainable solution that will ensure consumer protection, the preservation of the capital adequacy of insurance companies, as well as the control of the cost and quality of health services, for the benefit of Greek society,” said Dmitris Mazarakis, CEO of National Insurance.

The exact rates of increase for each type of contract will be announced in detail by the company, along with the procedures to be followed in the cases of policyholders who have already received letters with the increases that were initially decided.”

However, insurance companies may cite the increased cost of hospital services to largely justify the increases they are imposing, but the country’s two largest health groups, as protothema.gr revealed yesterday, have informed the op. Development that this year 2024 of hospitalizations for the insurance companies decreased by 4% while at the same time inflated and credit days reaching even the year!