This article was translated from the original human-written German version. While we strive for accuracy, we cannot guarantee it is error-free. We recommend consulting the German original for the most precise information. This content is for informational purposes only and does not constitute financial or legal advice. Always consult with a qualified professional before making insurance or financial decisions.
PKV Contributions in Old Age: Mechanisms, Development, and Options for Contribution Stabilization
The development of health insurance contributions in old age is a central issue for many policyholders. Especially with private health insurance (PKV), there are often questions about long-term affordability.
This article sheds light on the facts behind this complex question. We explain the different financing systems of the GKV (statutory health insurance) and PKV, analyze why contributions in both systems are increasing, and present the safeguarding mechanisms and action options available to PKV policyholders.
1. Basics: Two Systems, Two Calculation Worlds
The GKV operates on a pay-as-you-go system ("generational contract"). The current income of premium payers directly finances the current healthcare costs. Provisions for old age to save for higher costs in old age are not made. This system reacts directly to demographic development. The contribution is based on income up to the contribution assessment ceiling.
The PKV calculates using the funded system. A portion of the contribution is saved from the beginning as age reserves to finance the higher healthcare costs expected in old age. The contribution is based on individual risk (age, health) and the chosen tariff, not on income.
2. Detailed Analysis: Why GKV and PKV Contributions Increase and What Slows Them Down?
Contribution increases affect both systems. The reasons are usually the same:
Medical-technical progress
Increasing life expectancy
General cost increases in the healthcare system
Contribution Development in GKV and PKV
In the GKV, the absolute contribution increases due to the regular adjustment of the contribution assessment ceiling, rising additional contributions, and income increases below the BBG. For pensioners, other sources of income besides the statutory pension are also used for contribution calculation.
In the PKV, a contribution increase solely due to aging is legally excluded. Adjustments are only made if costs unexpectedly increase and must be approved by an independent trustee. The PKV has several built-in mechanisms to influence contributions in old age:
Age reserves: The core of provisions for financing age-related additional costs.
Statutory 10% surcharge: This is additionally saved between the ages of 21 and 60 and used from age 65 to cushion contribution increases.
Abolition of contribution parts in old age: Upon reaching the age of 60, the 10% surcharge is dropped, and upon retirement, the contribution for daily sickness allowance also ceases.
Subsidy from pension insurance: Pensioners insured in the PKV receive a subsidy towards their contribution from the German Pension Insurance upon application.
Surpluses: Earned surpluses are also used for contribution stabilization.
3. Recommendations for Action: What You Can Do Yourself
PKV policyholders have several legally anchored options available to actively influence their contributions and ensure long-term affordability.
Checklist of Your Options:
Internal tariff change according to § 204 VVG: You have the right at any time to switch to a different tariff within your insurance company. Your accumulated age reserves will be fully credited.
Adjustment of the deductible: Choosing a higher deductible in your existing tariff directly lowers your monthly contribution.
Use of a contribution relief tariff: Special tariffs allow you to save additionally during your working life to receive a guaranteed contribution reduction in old age.
Switch to the standard or basic tariff: These tariffs offer insurance coverage at the GKV level. The contribution may not exceed the GKV's maximum contribution and can be further reduced if you are in need.
Utilize tax advantages: Contributions for basic coverage in the PKV are largely tax-deductible.
FAQ: Frequently Asked Questions
Can my PKV terminate my insurance if I get old and sick?
No. Ordinary termination by the insurer is legally excluded in full-coverage health insurance.
Will my contribution increase if I get a new illness?
No. An individual contribution increase due to a new illness is also excluded.
Summary
Provision principle as a system difference: The PKV systematically provides for higher healthcare costs in old age with age reserves, while the GKV relies on a pay-as-you-go system.
Contributions increase in both systems: The main drivers are external factors such as medical progress, not individual aging.
PKV has built-in mechanisms: The statutory 10% surcharge and the abolition of certain contribution parts in old age contribute to contribution stability.
Policyholders have active options: With an internal tariff change (§ 204 VVG) and a switch to social tariffs (standard/basic tariff), contributions in old age can be actively and effectively managed.
Early planning and knowledge of your rights are key to long-term sustainable healthcare.