Gain insights into private health insurance premium structures, factors influencing pricing, and tips for optimizing your coverage.
Key takeaways
Private health insurance costs depend on your age, health, and the insurance services you opt for.
A good private health insurance costs between
466 € and 683 € per month to self-employed
301 € and 355 € per month to employees
288 € and 400 € per month to civil servants
Private health insurance doesn't cover your family for free. You must get separate health insurance for your spouse and children.
This is how you do it
You should know what good private health insurance covers before signing a contract.
Private insurance is not automatically better than public. Compare them to weigh in the pros and cons.
Always consult a fee-based advisor for personalized advice.
You can compare various private health insurance plans on the comparison portal Check24*. You can also check the private insurance from Feather*. Feather offers services in English also.
Table of contents
Factors that determine the Private Health Insurance cost in Germany
Increase in the private health insurance cost in the last 20 years
How do private health insurance costs develop as you get older?
Can you reduce the costs of private health insurance in Germany?
When does switching to private health insurance make sense in Germany?
Factors that determine the Private Health Insurance cost in Germany
Private health insurance premiums don't depend on your income. The insurance cost is based on the following factors.
Age: The older you are, the more expensive the private insurance plan
Health: Private health insurance providers do a complete health check before accepting a new customer. The premium for private health insurance is lower for healthy individuals. A private insurer adds a risk surcharge to your insurance premium if you have an existing disease.
Services: You can select which services you want in your health insurance. The better services you opt for, the more the private insurance cost.
If you plan to get private health insurance, you should do so before you turn 45. We have created a checklist you can use to ensure that your private health insurance plan has all the essential services.
Private Health Insurance Benefits Checklist - Free Download
A comprehensive list of services good private insurance should cover.
Use it during your consultation with the fee-based advisor.
Use it while searching for a private health insurance policy.
Costs of health insurance in Germany
Cost of public health insurance in Germany
The cost of public health insurance depends on your income.
Employed
Employees pay 14.6% of their gross income into the public health insurance system every month. On top of it, there is an additional contribution (Zusatzbeitrag in German).
The public health insurance company determines the additional contribution.
The public insurer put a limit on the maximum public insurance premium. The maximum limit on the income to be considered for calculating the insurance cost is 4987.50 € per month (as of 2024).
Thus, the maximum monthly premium you pay is 728 € per month (14.6% of 4987.5).
You also contribute to the nursing care insurance. People with children pay 3.4% of their gross income into nursing care insurance. And people with no children pay 4%.
The good news is that the employer pays half the nursing care insurance premium.
Self-employed
Self-employed pay 14% of their gross income into the public healthcare system. They must also pay the additional contribution (Zusatzbeitrag) and nursing care insurance like the employees.
However, self-employed must cover the complete health insurance cost on their own.
The insurance premium increases to 14.6% if you opt for sick pay.
Have kids and no sick pay | No kids and no sick pay | Have kids and with sick pay | No kids and with sick pay | |
Health insurance | 14.0% | 14.0% | 14.6% | 14.6% |
Average Additional contribution | 1.7% | 1.7% | 1.7% | 1.7% |
Nursing care insurance | 3.05% | 3.4% | 3.05% | 3.4% |
Total contribution | 18.75% | 19.1% | 19.35% | 19.7% |
Civil servant
Civil servants pay 14% of their gross income to public healthcare insurance. They must also pay the additional contribution (Zusatzbeitrag) and nursing care insurance like the employees.
Like self-employed, civil servants must cover the whole insurance cost on their own. However, some federal states cover half the insurance costs.
Cost of private health insurance in Germany?
We used Check24* to find the cost of different private health insurance plans in Germany.
Here are our assumptions while looking for a private health insurance policy.
You have no prior health problems
You are 35 years old
You earn more than 69,300 € (as of 2024) gross annually.
The filters we used during our search
We set the maximum deductible to 500 € per annum.
The daily sickness allowance should be at least 100€ paid from the 43rd day.
Shared room or 2-bed room in the hospital.
The private health insurance premium varies based on your occupation. You can find the result below.
Self-employed
The private health insurance cost between 466 € and 683 € per month (as of Dec 2023).
At this cost, you get the following services.
The private insurer reimburses 80% to 90% of the dental treatment costs.
You can go directly to a specialist. You don't need a "Überweisung" from the general practitioner (Hausartz).
The deductible is zero for premium private health insurance plans that cost 683 € per month. And it's 300€ and 500 € for cheaper plans.
The private health insurance provider will reimburse the cost of a 1-bed room during your stay at the hospital.
The head doctor will treat you in the hospital.
NOTE: Just because your insurance provider reimburses the costs of a head doctor doesn't mean the doctor will be available to treat you.
Employed
The private health insurance cost between 301 € and 355 € per month (as of Dec 2023) for employees. Private health insurance premiums are low as your employer pays half.
So, in reality, private health insurance costs between 602 € and 710 € per month.
At this cost, you get the same services as the self-employed.
The private insurer reimburses 80% to 90% of the dental treatment costs.
You can go directly to a specialist.
The deductible is between zero and 500 €.
1-bed room during your stay at the hospital.
Treatment by the head doctor.
Civil Servant
The federal state covers 50% to 70% of the medical bills for civil servants. Thus, civil servants need health insurance for the part of the costs not covered. It makes private health insurance very cheap for civil servants.
Assuming you get a 50% subsidy from the state, you pay between 288 € and 400 € per month into the private health insurance system.
Civil servants not only get cheaper insurance but also better services.
100% dental coverage
Visit a specialist directly
1-bed room during hospital stays
Treatment by the head doctor
Get a private health insurance policy in Germany
Compare offers and prices.
Comparison calculator to find suitable private health insurance policies.
Compare the insurance providers and their ratings.
Family health insurance premium in Germany
Public health insurance premium for a family
Your spouse and children are covered for free under statutory health insurance. The prerequisite is that your partner doesn't earn or earns below 485 € gross per month.
If you both earn, you and your partner must pay 14.6% of your gross income into the public health insurance system.
Get Public Health Insurance in Germany via Feather
Get public health insurance in Germany from one of the four insurers.
Complete the application process in English.
Public insurance is the best choice for most foreign students studying in Germany.
Private health insurance premium for a family
In a private health system, you must take out a separate health insurance policy for each family member. Moreover, you must continue paying the private health insurance premium during maternity leave.
So, private health insurance gets expensive quickly for families. However, the situation is different for the civil servant's family.
The state gives civil servants an 80% subsidy for children and 70% for spouses on private health insurance.
Increase in the private health insurance cost in the last 20 years
As per the report from "Wissenschaftliches Institut der PKV (WIP),"
The private health insurance cost increased by 2.8% annually from 2004 to 2024. And during 2014 to 2024, insurance premiums increased by 3.2% annually.
The statutory health insurance premium increased 3.2% annually from 2004 to 2024. And 3.3% annually from 2014 to 2024.
Yes, public insurance costs increased more than private insurance. But you must understand how the costs in the two healthcare systems are calculated.
Statutory health insurance costs are a percentage of your income. With time, the average income of people living in Germany has increased. It directly contributed to the rise in public insurance contributions.
On the other hand, private health insurance costs don't depend on your income. The private insurers increase the cost based on the rise in medical treatment costs and inflation.
The issue arises when your income doesn't increase or, worse, it decreases. In private insurance, you must pay an increased premium even if your income decreases.
However, you pay less for public health insurance if your income decreases.
Thus, comparing the increase in public and private health insurance costs doesn't portray a fair picture.
How do private health insurance costs develop as you get older?
Germany has an aging population. Rising medical costs and the aging population have put pressure on its health insurance systems.
Hence, it's safe to assume that health insurance costs will continue to rise. To worsen the situation, the German pension system is struggling due to the aging population.
One can already see that the pension will not be enough to cover your current lifestyle. So, paying increased health insurance premiums will become even more challenging in old age.
Thus, the German government made it compulsory for every private health insurance provider to save part of the insurance premium for retirement. It is called the retirement provisions.
As per the law, insurers must save at least 10% of the premium.
So, you pay the retirement provisions between the ages of 22 and 61. The insurer uses the saved amount to stabilize the insurance premium when you are 62 or older.
NOTE: The German government has put guardrails in place to ensure private insurance companies don't increase their customers' premiums too much. So, to increase your premium, the insurer must prove that your medical expenses are at least 5 -10% higher than what they calculated when signing the contract.
The law enables a stable private health insurance premium. However, premium adjustments are common in the private healthcare system.
Thus, privately insured people must save up a financial cushion for old age. The cushion will supplement their pension and help pay increased health insurance premiums.
Can you reduce the costs of private health insurance in Germany?
Here are the options to reduce the private health insurance premiums.
Switch to a cheaper tariff. A private health insurance company offers several insurance plans. So, you can always switch to a cheaper plan to reduce your monthly premium.
Cancel services you don't use from your private health insurance contract.
Increase your deductible
You can ask for a risk surcharge reassessment (Risikozuschlägen). Insurance companies add a risk surcharge for pre-existing conditions. So, you reduce your premium if your previous illnesses are now cured.
Learn more in our guide on reducing private health insurance costs in Germany.
How do privately insured pay their medical bills?
Outpatient: Doctors give you a receipt for outpatient treatments. You must pay the medical bill within 10 to 14 days. You must submit the receipt to your private health insurance provider for reimbursement. Usually, the insurer reimburses the cost within a few days. But you are responsible for settling the medical bill.
Pharmacy: At pharmacies, you must also pay the bill yourself. Later, you can submit the receipt to your private health insurer for reimbursement.
Inpatient: Usually, the hospital can settle the treatment costs directly with the health insurer. However, sometimes, you might have to pay the bill and get reimbursed later.
We recommend consulting with your insurer before going for an expensive medical treatment. Sometimes, the insurance provider doesn't cover all the costs. So, it's better to know what is covered and what isn't to avoid surprises.
When does switching to private health insurance make sense in Germany?
Moving to private health insurance is a lifelong decision. So, you should consult a fee-based advisor before making the decision.
We have written a guide on private health insurance that you can refer to while consulting an advisor.
In general, private health insurance makes sense in the following situations.
You are a young single high-earner temporarily living in Germany.
You are a civil servant who gets a 50% to 70% subsidy from the state.
You are a high-earning, self-employed who doesn't plan to have a family.
It's tough to generalize. Hence, always consult a fee-based advisor for personalized advice.
You should also compare public and private health insurance to weigh the pros and cons better.
Get a private health insurance policy in Germany
Compare offers and prices.
Comparison calculator to find suitable private health insurance policies.
Compare the insurance providers and their ratings.