Cost of Private Health Insurance in Germany

Living in Germany, Health Care, Insurances

Are you wondering how much private health insurance will cost you and can you afford it at all? It is important to know how much you end up paying for health insurance in Germany because it can be a significant part of one’s budget. Private coverage doesn’t have to be expensive – in fact, in some cases, it can be even cheaper than German public insurance.

The cost of private health insurance in Germany can range from 28 EUR to 1,500 EUR per month, depending on your situation and insurance premium. The price for students starts at 28 EUR per month, and a good policy for employees will cost around 220 EUR per month.

If you are already familiar with the cost of public insurance in Germany, you need to know that the estimation of the price for private insurance is different. Private insurance (PKV) isn’t very popular in Germany, the majority of the population prefers public providers. Nonetheless, private health insurance has many advantages, including its price.

How Expensive Private Health Insurance in Germany?

When clients are signing for public health insurance they already know how much to expect per month. For instance, employees in Germany pay 14,6% of their monthly income, and students have a more less fixed rates between 102,05 EUR and 116,33 EUR depending on the company.

For students in Germany following rule applies:

  • Students with public health insurance pay a uniform monthly contribution throughout Germany.

However, the situation is different with private health insurance, where every provider decides on his own how much to charge. Premiums aren’t calculated according to the income of the individual like in the public system, but on the level of benefits, age, and health conditions.

Most of the companies will make a medical assessment (usually per phone) of the potential client, so they can estimate a current state of health.

When talking about costs, private health insurance for a healthy 35-year-old employee is available already from about 220 EUR per month. But depending on the benefits you choose, you can also spend more, so a 35-year-old might pay 326 EUR for very good coverage with special priories and preferences.

In comparison, the same employee with an income of 60k per year will pay around 365 EUR per month for public health insurance.

Moreover, in contrast to public health insurance, the so-called equivalence principle applies to the private health insurance. This translates to the direct connection between the agreed benefits/coverage and the amount of contributions to be paid.

The higher the agreed level of policy performance, the higher the monthly rate – and vice versa. Income, on the other hand, is mostly irrelevant when determining the amount you end up paying for private coverage.

The equivalence principle also includes personal risk factors in the price determination:

  • age
  • past illnesses and diseases
  • estimated health risks
  • pre-existing and chronic diseases

In fact, age plays quite an important role. Statistics have shown, monthly rate increases with increasing age. Hence, old people pay the highest contributions for private health insurance.

Consequently, the amount you pay for your private health insurance depends on several factors, including:

  • The chosen coverage and benefits
  • Occupation
  • Age
  • Current health state
  • Pre-existing medical conditions
  • Previous illnesses and diseases
  • The chosen coverage and benefits
  • The deductible

Moreover, the fewer benefits and the higher the deductible you select, the cheaper private health insurance will be. You can see exact prices later in the article, under Private Health Insurance for Expats.

Private Health Insurance for Expats

Private insurance is often selected by the expats in Germany, mostly because they seek service in the English language. Currently, there are 43 private insurance providers in the country, although most of them don’t speak English and don’t provide special coverages for expats.

Moreover, private insurance is also chosen by unemployed, self-employed, students, and others, who don’t fulfill the requirements of a public health insurance provider. In fact, when you apply for the German visa, you must sign for one of the private coverages.

In Germany, two main private providers take decent care of the foreigners: Feather and Ottonova. Allianz is also a popular solution for internationals living in Germany. So how much expats and other foreigners pay for private insurance in Germany?

Feather

Feather offer wide range of insurance coverages for different people and different situations.

Expat health insurance – this insurance is open to many people, who want to stay in Germany short or long term, don’t have income, or need a policy for a visa application. The price starts at 72 EUR per month. You will get coverage in just 2 minutes.

  • A new arrival to Germany
  • Unemployed
  • Self-employed
  • Perfect for your first visa application

Private health insurance – this coverage is more comprehensive and therefore, more expensive. The price will be calculated individually for every person, depending on age and health conditions. You can just go through price estimation on the Feather website.

For example, comprehensive coverage for a self-employed person born in 1995, with good health conditions will cost between 249 EUR and 387 EUR. If you a healthy, active individual it will be even less.

This insurance is good for:

  • Employed person
  • Self-employed person

The company is even offering Dental insurance. You will need to the addition to the normal health insurance to visit a dentist for more cosmetic procedures, such as teeth cleaning. The cost of this coverage is just 9 EUR per month. It offers great value for this money.

What included in the dental insurance?

  • Professional dental cleaning
  • Dental treatments
  • With the advanced cover, you can have dentures and tooth replacement 
  • With the advanced cover, you can have teeth whitening 

However, Feather also offers public health insurance, the cost of which is fixed. That way you will know how much it will cost you per month even before signing up.

Public heath insurance from Feather is suitable for many people including:

  • Students
  • Employees
  • Expats
  • Self-employed

On a Feather website you can use a tool to estimate the exact monthly rate of the insurance, depending on your situation and income.

Ottonova

Ottonova is another popular private health insurance provider in Germany. They offer coverages for expats, employees, self-employed, civil servants, and also additional packages for dental procedures and stay in a hospital.

They operate only digitally and offer additional services, such as:

  • Concierge Service
  • Digital doctor visit
  • Online registration process
  • Digital support
  • Smartphone app
  • International health insurance
  • health X – bonus program

On their website you can see an estimation of the monthly price depending on following factors:

  • age
  • yearly income
  • benefits
  • range of treatments
  • if the coverage is worldwide or not
  • stay in a hospital
  • and many others

The estimated cost of expat coverage is 165 EUR per month, however, you can choose a “Premium economy” coverage for 229 EUR, or get an upgrade to the “Business Class” for 257 EUR or “First class” for 278 EUR per month. This estimates are applicable for employees and expats in Germany, for self-employed people it would be different rates.

Nonetheless, with insurance from Ottonova non-EU expats can save even more money, by joining their special expat tariff.

Additionally, you can opt for dental insurance from Ottonova. The exact price will be calculated based on your age. For 25 years old individual it is 8,73 EUR for the cheapest deal per month. The elite dental coverage will cost 20,01 EUR per month, which is still very reasonable for the benefits you get:

  • teeth cleaning
  • full cost reimbursement for dental treatments
  • coverage for high costs for dentures, implants, and inlays
  • coverage for orthodontics for children & adults

Will you pay more when earning more?

Luckily no, since the contributions for private health insurance aren’t depending on your income, you don’t have to worry about the increase in price with an increase in earnings. You will pay the same monthly rate for your policy even when earning more.

Which Health Insurance Is More Expensive: Private or Public?

Many people question themselves about the price difference between public and private health insurance but there isn’t a simple answer for this.

In private health insurance, contributions are calculated on the basis of the principle of equivalence: the higher the benefits the higher the price.

In the case of statutory health insurance, the principle of solidarity is applicable to the pricing. Everyone pays regardless of age and the state of health – a fixed contribution – the percentage of the income.

Therefore, higher earners pay more for public health insurance. That’s why especially for them use of private insurance is beneficial.

Main takeaways:

Statutory health insurance (GVK) accepts almost everyone. With public insurance, the amount of the contribution depends on the income, in the private health insurance (PKV) – on policy benefits, age, and health conditions.

In many cases, you will save money with private health insurance, but it’s all depends on the individual situation.

Save Money with Private Insurance

Although private sounds like an entitled, private insurance isn’t automatically more expensive than a public one. In fact, you can even save money by taking out private coverage.

Especially people at a young age, with good health and high income will save a lot with private insurance. For example, a single employee with a monthly income of 5,500 EUR will pay around 439 EUR for public coverage (in 2021).

On the other hand, the same employee with private health insurance will pay significantly less, assuming he/she is around 30-40 years old.

Self-employed can especially benefit

Self-employed people in Germany can save even more money. With public insurance, a business owner/freelancer will have to pay 14,6% of the monthly income, which is a lot!

However, in Germany, the rule of maximum contribution applies to the annual income of 58,050 EUR. Hence, with income over this amount, you will pay a maximum of 14,6% of 58,050 EUR for your policy.

Get a tax return for your private health insurance

As a bonus benefit of private health insurance self-employed people and freelancers can claim contributions and tax-deductible expenses. This can be done in the annual income tax return, which can be submitted very easily by using this provider.

Who Can Sign for private health insurance?

The last question which can come to mind is who can sign for a private health insurance? In Germany, people from following categories can take out a private coverage:

  • Students
  • Employees with income over 64,350 EUR
  • Self-employed
  • Freelancer
  • Unemployed
  • Civil servant
  • Au-pairs

Recommended products and services in Germany:

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