German Private Health Insurance

How Does Private Health Insurance Work in Germany?

In Germany, there are two main types of health insurance: provided by over 100 insurance companies (called Krankenkasse). Health insurance is mandatory, and you must choose between these two options (although in some cases, a combination of both is possible).

The first option is available to everyone and is called: Public Health Insurance (Gesetzliche Krankenversicherung, GKV).

The second option, available depending on your salary, is called: Private Health Insurance (Private Krankenversicherung, PKV).

So, what sets them apart?
The primary difference is that Private Health Insurance (PKV) is available only if you earn more than €73,800 annually (as of 2025). If your income is below this threshold, you must opt for Public Health Insurance (GKV). The second major distinction is the higher quality of service typically offered by PKV. For instance, PKV offers:

• Access to a wider range of medications
• More private hospital room options in case of hospitalization
• Some doctors prefer to treat only PKV-insured patients
• Often, PKV costs are comparable to GKV for healthy individuals

However, there are also some drawbacks to Private Health Insurance:

• It can become more expensive with age or health decline
• Claiming reimbursements often requires filling out forms in German (though we work with insurers that offer English-language services)
• Dependents are generally not covered under PKV
• Some doctors may prescribe unnecessary medication since they know PKV will cover the costs

Public Health Insurance (GKV) is typically more suitable if you are married (especially if your partner does not earn an income) or have children, as they will be covered under your policy. The cost of GKV is usually 14.6% of your annual gross salary, with the cost split between you and your employer. If you choose PKV, your employer will still contribute half of the cost.

Note that not all hospitals and doctors are covered under the GKV system, so it's essential to verify coverage before receiving treatment. Both PKV and GKV provide coverage for overseas treatment, but it's crucial to check whether your destination country is included. Generally, PKV offers a more extensive list of countries for international medical coverage.