Health insurance company DSW, traditionally the first to announce its fees ahead of the new round of price hikes, said on Tuesday it will put up its premiums by €6 a month next year.

The health ministry said earlier this month it expected premiums would rise by an average of €3.

The DSW increase takes the cost of its basic health insurance package to €118 a month. Last year, DSW put its premiums up €4.50 and in 2017 cut charges by 50 cents a month.

The main reason for the higher premium is increasing costs, salaries in particular, DSW said.’Everyone says that people working in healthcare should earn more and we expect there will be pay rises,’ the insurer’s new chief executive Aad de Groot said. ‘Wage costs account for half the increase.’

The four biggest players – Achmea (Zilveren Kruis), VGZ, CZ and Menzis, which control some 90% of the market, have until November 12 to publish their fees.

Their prices are also likely to be impacted by the government’s decision to limit the discount on collective policies to 5%, something DSW does not offer.

There is a two-month window at the end of every year during which policyholders can switch health insurance company.