TDs have approved plans which could see force health insurance prices to rise significantly.
The new system, proposed by health minister James Reilly, was approved by a clear majority of TDs and is set to become law later this month.
The new plans will dramatically increase the prices that public hospitals can charge to private insurers.
The system will see insurers pay over eleven hundred euro for a single overnight stay in some hospitals.
Insurers say they could have to raise premiums by up to 25 per cent as a result.