Germany's Top Health Insurer Proposes Bold Reforms to Curb Rising Costs
Germany's Top Health Insurer Proposes Bold Reforms to Curb Rising Costs
Techniker Krankenkasse Calls for Cost Savings in Healthcare - Germany's Top Health Insurer Proposes Bold Reforms to Curb Rising Costs
Germany's largest public health insurer, Techniker Krankenkasse (TK), has proposed sweeping cost-cutting reforms to stabilise the healthcare system. CEO Jens Baas warned that rising financial pressures and inefficiencies could push up insurance contributions unless immediate action is taken.
A recent Forsa Institute survey reveals strong public backing for change, with 63% of Germans supporting targeted reforms and 95% demanding faster access to medical care.
TK's proposals focus on several key areas to reduce spending. One major suggestion is raising the mandatory rebate on patent-protected drugs from the current rate to 17%, a move projected to save €3.4 billion. The insurer also wants to eliminate extra payments to doctors for appointment scheduling, which could free up another €1 billion.
Further savings would come from scrapping the 'most favoured nation' clause in hospital contracts, adding €1.2 billion to the pot. TK also recommends capping increases in long-term care budgets, potentially saving €1.75 billion. Another proposal involves competitive bidding for medical aids and adjustments to how sickness benefits are funded.
Beyond drug and service costs, TK is pushing for the government to fully cover insurance premiums for welfare recipients. This shift alone would relieve statutory health insurers of over €10 billion annually. Baas stressed that without such measures, contribution rates will climb, placing an even heavier burden on households.
The survey results underscore public concern: 88% of respondents want insurance contributions to remain stable. While TK's calls for reform have not yet influenced the federal government's agenda, the insurer has criticised recent hospital reforms for falling short. These changes, passed under the CDU-SPD coalition, halted planned savings packages, raising fears of future contribution hikes.
TK's proposals aim to ease financial strain on the healthcare system by targeting inefficiencies and redistributing costs. If implemented, the measures could save billions while addressing public demand for stable contributions and faster care. The government has yet to respond directly to the insurer's recommendations.