The German Federal Cabinet on September 30 approved draft legislation to reform statutory long-term care insurance (Pflegeversicherung). According to Süddeutsche Zeitung, citing Health Minister Carsten Linnemann (CDU), the bill aims to stabilize the system’s finances through measures addressing both revenues and expenditures.
- The baseline contribution rate is set to remain at 3.6%.
- Effective January 1, 2027, the contribution surcharge for childless insured individuals is slated to rise from 0.6% to 0.9%, resulting in an overall contribution rate of 4.5%.
- A dedicated commission is tasked with presenting structural reform proposals by the end of January 2027.
Contribution and Benefit Adjustments
According to Süddeutsche Zeitung, the surcharge for childless insured members is to increase by 0.3 percentage points. Contributions are calculated based on earnings subject to social security contributions. The bill also includes an increase in the monthly contribution assessment ceiling (Beitragsbemessungsgrenze) by 300 euros.
Starting January 1, 2028, a surcharge of 0.52 percentage points is proposed for the coverage of spouses or registered partners previously included in non-contributory family insurance. Exemptions are provided, notably for parents of children with disabilities and family caregivers, the publication notes. From 2029 onward, statutory care benefits are slated to undergo annual inflation-linked adjustments.
The draft also introduces structural organizational measures: a more rigorous assessment of rehabilitation potential during care grade evaluations, and early detection check-ups for insured individuals aged 60 and older (“Check-up 60+”). According to ZEIT, emergency short-term care capacity is proposed from 2028, along with a dedicated support budget of approximately 3,600 euros per year for families caring for children with special care needs (Sozialraumbudget).
Expert Commission and Out-of-Pocket Cost Caps
As reported by ZEIT, a formal decision to establish an expert commission is expected next week. The panel is intended to explore models for financial equalization between private and statutory long-term care insurance systems, as well as caps on out-of-pocket care costs in nursing homes. These SPD demands were not incorporated into the approved cabinet bill. According to Linnemann, the commission’s proposals are expected by the end of January 2027.
Tagesschau clarifies that the SPD’s proposed care cap (Pflegedeckel) specifically addresses the co-payment for pure care costs. Accommodation, meals, and investment overheads in care facilities are not covered. The initially discussed monthly cap of 1,500 euros remains a party proposal.
According to a Tagesschau overview, statutory long-term care insurance funds anticipate a deficit of 4.4 billion euros in 2026 and 7.5 billion euros in 2027.