German government makes health insurance cheaper 

Health Minister Jens Spahn has announced "good news for health insurance clients" starting from 2019: the government will shift the burden of cost to employers and pension funds.

Daria Sukharchuk
Daria Sukharchuk NewsMavens, Central & Eastern Europe
German government makes health insurance cheaper  - NewsMavens
Health card, Pixabay

Why this story matters:

German employees pay a hefty sum for their health insurance: around 350€, with about half of it paid by their employer. For the self-employed, it's even more expensive -- minimum 345€ a month. Under the new law, the self-employed will pay a minimum of 171€, and for employees and pensioners, most of the costs will shift to the employers and pension funds.

Insurance companies will not be allowed to accumulate reserves that exceed one month's worth of their expenses -- and any funds higher than that will have to be given to the Health Care Fund.

While consumers are happy about this change, businesses are not: it will increase their staff expenses and reduce competition. It might also be an incentive to hire fewer people. 

Details from the story:

  • Currently, health insurance costs are high in Germany -- especially for the self-employed, who cannot rely on an employer to pay half of their insurance costs.
  • The new government has promised to lower these costs at the expense of the insurance companies who have accumulated vast monetary reserves.
EDITOR'S PICK:
Tired of the news media’s prevailing male perspective? We are too.

Get our newsletters composed exclusively by female journalists from all over Europe.

WITH FINANCIAL SUPPORT FROM:
Google DNI
SUPPORTED BY:
Women in news
World Editors Forum
STRATEGIC PARTNERS:
NewsMavens
NewsMavens is a media start-up within Gazeta Wyborcza, Poland's largest liberal broadsheet published by Agora S.A. NewsMavens is currently financed by Gazeta Wyborcza and Google DNI Fund.
Is something happening in your country that Newsmavens should cover?
CORE TEAM
Zuzanna Ziomecka
Zuzanna Ziomecka EDITOR IN CHIEF
Lea Berriault-Jauvin
Lea Berriault Managing Editor
Jessica Sirotin
Jessica Sirotin EDITOR
Ada Petriczko
Ada Petriczko EDITOR
Gazeta Wyborcza, Agora SA Czerska 8/10 00-732, Warsaw Poland
The e-mail addresses provided above are not intended for recruitment purposes. Messages concerning recruitment will be deleted immediately. Your personal data provided as part of your correspondence with Zuzanna,Lea, Jessica and Ada will be processed for the purpose of resolving the issue you contacted us about. The data provided in your email is controlled by Agora S.A. with its registered office in Warsaw Czerska 8/10 Street (00-732). You can find more information about the processing and protection of your personal data at https://newsmavens.com/transparency-policy