A call for structural reform to reach fiscal sustainability of Germany’s statutory health insurance

(de-news.net) – Germany’s statutory health insurance system (GKV) is currently facing mounting financial pressures that threaten its long-term viability. In response to this escalating fiscal strain, the Federal Court of Auditors has issued a formal appeal for immediate corrective measures, including targeted expenditure reductions. As reported by media outlets, this appeal was conveyed in a letter addressed to the Budget Committee of the Bundestag, underscoring the urgency of addressing the system’s widening structural deficit.

The letter draws attention to the persistent and growing disparity between revenues and expenditures, which is projected to increase annually by €6 to €8 billion. This imbalance poses a significant risk to the sustainability of the GKV, particularly in the absence of substantive policy intervention. Of particular concern is the trajectory of the average supplementary contribution rate (Zusatzbeitrag), currently at approximately 2.5 percent, which is forecasted to rise to nearly 4 percent by 2029 if no remedial action is undertaken.

The federal court attributes this fiscal deterioration to a constellation of interrelated factors. Chief among these is the repeal of cost-containment regulations that previously served to moderate expenditure growth. Additionally, demographic shifts—most notably the aging population—are exacerbating the structural imbalance by increasing demand for healthcare services and placing further strain on the system’s financial resources.

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