How Does Health Insurance Work in Germany?

In Germany, health insurance is mandatory, and you must choose between two types of insurance, offered by over 100 providers (referred to as Krankenkassen). While it is possible to combine the two, the options are as follows:

Public Health Insurance (Gesetzliche Krankenversicherung, GKV)

Public Health Insurance (GKV) is available to all residents and is required if your annual income is below €69,300 (as of 2024). GKV provides extensive coverage for medical care, including doctor visits, hospital stays, and medications. If you are married or have children, they will automatically be covered under your policy at no additional cost. The cost is calculated as 14.6% of your gross salary, which is shared equally between you and your employer.

Private Health Insurance (Private Krankenversicherung, PKV)

Private Health Insurance (PKV) is available to those who earn more than €69,300 annually. PKV typically offers more comprehensive services than public insurance, such as:

• Access to a wider range of medications
• More privacy in hospital rooms (fewer patients sharing a room)
• Some doctors only accept private patients
• Cost may be similar to or only slightly higher than public insurance

However, there are some potential disadvantages to PKV:

• Premiums may increase with age or as health conditions arise
• You must submit claims directly to the insurer, often in German (although Süddeutsche Krankenversicherung offers English-language assistance)
• Dependents are not automatically covered
• Some doctors may overprescribe medications, knowing the insurance will cover the costs

Public Health Insurance is usually a better option for those who are married, have children, or a non-working partner, as they will be covered under your policy at no extra cost. The cost is 14.6% of your gross salary, split between you and your employer.