By Maria Martinez BERLIN, April 29 (Reuters) – Germany’s cabinet approved a draft bill to reform the statutory health insurance system on Wednesday, aiming to save 16.3 billion euros ($19.08 billion) next year amid mounting costs. Rising expenses have pushed the system toward a projected 15.3 billion euros shortfall in 2027, according to a commission […]
Health
German cabinet approves health insurance reform to curb costs
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By Maria Martinez
BERLIN, April 29 (Reuters) – Germany’s cabinet approved a draft bill to reform the statutory health insurance system on Wednesday, aiming to save 16.3 billion euros ($19.08 billion) next year amid mounting costs.
Rising expenses have pushed the system toward a projected 15.3 billion euros shortfall in 2027, according to a commission of experts in March. Without reforms, the deficit could reach 40 billion euros by 2030, the commission warned.
Containing health insurance expenses, which are shared by workers and employers, is a central part of Chancellor Friedrich Merz’s drive to boost Germany’s sluggish economy by reducing financial and bureaucratic burdens on companies.
($1 = 0.8545 euros)
(Reporting by Maria Martinez, editing by Kirsti Knolle)