Experts Warn Health Minister Against Mandating Forced Mergers of Small Health Insurers
Politics

Experts Warn Health Minister Against Mandating Forced Mergers of Small Health Insurers

Experts are criticizing Carsten Linnemann’s push to force health insurance providers with fewer than one million members to merge. Linnemann first proposed this concept back in April, when he still held the office of CDU General Secretary and not the position of Health Minister.

Experts are advising Linnemann to abandon the plan in his new role. Franz Knieps, the former chairman of the association of employer health funds, told the “Süddeutsche Zeitung”, “Keep your hands off it; this will happen on its own.” Economists are echoing this caution. Werner Schirmer, an analyst at the Baden-Württemberg State Bank, stated that the proposal “looks more populist, and the data largely contradicts it.” Schirmer, who wrote a study on the health system, also noted that mergers frequently lead to trouble and confusion, even among patients.

The corporate consultancy PwC is also opposing the Linnemann model. Manuel Meske, a health expert at PwC, remarked that reducing the number of funds alone will not solve the financial problems facing statutory health insurance. He argued that any fusion is merely symptom treatment.

According to reports, affected health insurance funds have already conveyed to Health Minister Linnemann their request that he abandon his earlier concept of reducing the number of funds. The Ministry of Health responded to the SZ’s inquiry by pointing to the “Financial Commission Health,” which is expected to put forward proposals for structural reforms later this year, including recommendations for the structures governing statutory health insurance.