What is the old-age savings component (Altersrückstellungen) in German private health insurance?
Old-age savings (Altersrückstellungen) are a mandatory component of long-term private health insurance plans in Germany.
We set aside part of your monthly contribution while you are younger to help stabilize your contribution later in life. Healthcare costs typically increase with age, and these accumulated reserves help reduce the risk of significant contribution increases during retirement.
In substitutive long-term private health insurance plans (Vollversicherung), the old-age savings component is funded through a 10% surcharge on your health insurance premium. This legally required surcharge is typically applied until age 60 and cannot be removed from the policy.
What is the transfer value (Übertragungswert) in private health insurance?
The transfer value (Übertragungswert) is the portion of your accumulated old-age savings that can be transferred if you switch from one private health insurance provider to another.
The transfer value:
Is calculated based on the contributions you have paid and the benefits you have acquired.
Increases over time as you continue contributing to your policy.
Is typically relatively low during the first years of your policy.
Is communicated to you every two years by your insurer.
How does the transfer value affect your premium if you switch private health insurers?
If you switch from another private health insurer to us, we recalculate your monthly contribution after:
Your coverage with us is confirmed.
We receive a certificate from your previous insurer confirming your transfer value.
Your final monthly contribution depends on several factors:
Your age at entry.
The plan you choose.
Your health status at sign-up.
The amount of transferred old-age savings.