BKK for health professionals merger or bankruptcy?

Health insurance BKK for health professionals also shortly before the closure?

19/05/2011

The BKK for health professions threatens according to reports of the „Financial Times Germany“ the bankruptcy. In addition to the insolvent City BKK, which will be closed on the first of July, the second health insurance company could soon face imminent insolvency.

The BKK for health professions remains until the end of May time to find a potential merger partner, who wants to take over the health insurance, including its almost 130,000 members, otherwise threatened bankruptcy, reports the „Financial Times Germany“. The health insurance industry is not coming to rest. While the discussions about the future housing of almost 170,000 City BKK customers in the remaining health insurance companies are still ongoing, speculation is already being made about the next health insurance bankruptcy.

Health insurance companies seeking merger partners to avoid bankruptcy
The possible bankruptcy of the BKK for health professionals emerges from a letter from the Advisory Council of the BKK for Health Professions to the directors of the other company health insurance funds from May 9, 2011, reports the „Financial Times Germany“. The communication urgently searches for possible merger partners among the other company health insurance funds in order to avert an impending insolvency. „Our focus is on the merger“, stressed Ulrich Rosendahl, spokesman of the BKK for health professions opposite the „Financial Times Germany“. But whether there is interest in the other company health insurance funds in a takeover of the ailing BKK for health professionals, is still unclear. An acquisition would significantly burden the merger partner financially. On the other hand, Ulrich Rosendahl also pointed out that a takeover for the other company health insurance funds would still be cheaper than a possible bankruptcy. But given the capacity problems that currently arise when housing the 168,000 City BKK customers in the other statutory health insurance, the prospect of a smooth takeover of the 130,000 members of the BKK for health professionals by another company health insurance seems rather low.

Health insurance companies under pressure - additional contribution inevitable
Thus, the health insurance industry could face the second insolvency of a statutory health insurance within a very short time and some other health insurance companies come under increasing pressure. Supplementary contributions, which excluded most statutory health insurance until recently, are already relatively widespread today and are being discussed with more and more health insurance funds. For example, reported „World Online“, that additional contributions will have to be levied in the future for the United IKK. Although the health insurance company still advertises on its website with it, continue to get along without additional contribution, additional contributions are unavoidable in the future, the United IKK writes „World Online“. Although Klaus Brandner, SPD politician and member of the board of the United IKK, told the news portal only that „if there is no financial help, an additional contribution is inevitable“ is, yes „World Online“ Based on information from cash registers, it assumes that the additional contributions will come in any case. Even financial support from the other health insurances could therefore not protect the more than 1.6 million members of the ICC from the additional contributions.

Additional contributions as a risk factor for insolvency?
However, additional contributions have had a significant impact on bankruptcy at City BKK, for example. Because after the City BKK first additional contributions raised to free themselves from the financial predicament, left thousands - especially young, healthy - members of the insurance and sought a new health insurance. Disproportionately many elderly and sick people were left behind, which usually causes more costs than is covered by the insurance premiums. Thus, the financial difficulties of City BKK further aggravated and in the end followed the bankruptcy. It would be unthinkable what would happen if a similar fate would overtake a health insurance company as large as the United IKK. The industry is currently struggling to accommodate the 168,000 former City BKK members, with 1.6 million people in need of a new insurance coverage in the event of a bankruptcy of the United IKK, the statutory health insurance system would probably simply be overburdened and government intervention inevitable. (Fp)

Also read:
BKK for health professions threatens bankruptcy
Member loss at the health insurance companies
City BKK: collapse by additional contribution
Health Insurance City BKK is closed

Image: Claudia Hautumm