The leadership of Germany’s largest statutory health insurance association, the Spitzenverband GKV, is issuing a stark warning against further financial burdens on its members, arguing that proposed cost-cutting measures risk undermining patient care and exacerbating public dissatisfaction. Oliver Blatt, Chairman of the GKV, has publicly rebuffed recent proposals championed by some policymakers, including the introduction of co-payments for doctor’s visits and the elimination of wage replacement during periods of illness.
Blatt characterized these suggestions as short-sighted and potentially damaging, telling the Funke-Mediengruppe newspaper that they represent “the path of least resistance” while disproportionately impacting patients and those contributing to the system. He cautioned that, given existing anxieties surrounding lengthy wait times for specialist appointments, imposing additional costs for medical care would prove incredibly detrimental.
This warning comes amidst escalating financial pressures on the statutory health insurance system. Following recent increases in supplementary contributions at the start of the year, Blatt is demanding comprehensive structural reforms to curb spending in areas like hospitals, outpatient care and pharmaceuticals. The GKV anticipates expenditure will rise by 6.5% this year, while income is projected to increase by only 4%, creating a widening financial deficit. Without significant reforms, Blatt warned, individual health insurance funds could be forced to notify members of further contribution increases.
To alleviate the immediate pressure, Blatt proposed two key measures. Firstly, he urged the government to fully absorb the costs of non-healthcare-related benefits currently borne by the GKV for recipients of Bürgergeld (basic income support), a move he believes could save €10 billion and reduce the contribution rate by 0.5 percentage points. The GKV has already initiated legal action against this policy, though a ruling is not expected for two to three years. Blatt insisted that this is a point needing immediate political action.
Secondly, Blatt reiterated the long-standing call for a reduction in the Value Added Tax (VAT) on pharmaceuticals from 19% to 7%, estimating this would save contributors an additional €6 billion annually. He pointedly noted the recent reduction in VAT for the restaurant industry, suggesting the hospitality sector may possess a more effective lobbying presence than the GKV. With a sarcastic tone, he highlighted the absurdity that even animal feed benefits from a reduced VAT rate, while essential medicines remain subject to the full rate. “This demonstrates the absurdities existing within healthcare policy” he stated, implicitly criticizing the priorities of the Chancellery and the Finance Ministry. This latest intervention by the GKV chief underscores a deepening political and financial crisis within Germany’s healthcare system, demanding decisive structural reform and highlighting the influence of lobbying efforts on policy decisions.
