Press Release: Insurance: Commission scrutinises exemption of Irish Voluntary Health Insurance Board from EU rules

The European Commission has decided to send Ireland a formal request to submit its observations on the continued legality of the exemption of the Irish Voluntary Health Insurance Board (VHI) from certain EU rules on non-life insurance. This follows a complaint to the Commission alleging that the VHI is unlawfully pursuing insurance activities without being subject to the First Non-Life Insurance Directive. The Commission's request takes the form of a "letter of formal notice", the first stage of infringement procedure under Article 226 of the EC Treaty. Ireland is asked to send its reply within one month. Depending on the analysis of this reply, the Commission will decide whether or not to issue a "reasoned opinion" formally calling on the Irish Government to amend the relevant legislation.