Short Answer
The Irish Government imposes a Health Insurance Levy on health insurers for each policyholder. This levy is subject to potential annual changes in accordance with the Government's yearly budget.
The levy constitutes a fixed portion of your health insurance premium. For instance, if you are an adult with an annual premium of €1,200 on a Level 2 plan, €449 of that amount represents your Health Insurance Levy, approximately one-third of the total premium.
The funds generated from this levy are utilized to support the Risk Equalisation Premium Credit, which benefits insured individuals aged 65 and over.