Statutory health insurance funds in need

City BKK and United IKK in financial distress

18.04.2011

The public health insurance companies City BKK and Vereinigte IKK are again threatening closure. As early as last November, measures were taken by the association of company health insurance companies to help City BKK. Around 180,000 people are insured at the health insurance. Most insured people now wonder what to expect in case of a closure and whether the insurance cover is still guaranteed. We give some answers.

Federal Insurance Agency carries out verification
The fact is, extensive audits are currently being carried out by experts from the Federal Insurance Office (BVA). The financial situation and perspective of the fund is analyzed. The reports should be completed by the end of May. According to the City BKK is then decided whether it continues or not. However, independent health economists find the situation extremely difficult. Already last year City BKK threatened insolvency. Due to a concept for the reorganization, the impending insolvency could still be averted. Across from „test.de“ confirmed by the Federal Association of Company Health Insurance Funds (BKK) that a financial audit is currently taking place on the part of the BVA.“ It „But it can not be ruled out that there will be a closure“, explained Christine Richter, spokeswoman for the BKK. The Federal Office must order a closure if the health insurance fund no longer has sufficient funds and the health care of the insured persons is no longer guaranteed.

United IKK in financial distress
In addition to the City BKK, the guild insurances united IKK in a serious financial situation. Currently, the box office discusses with the five remaining guild health insurance funds for structural help, as a spokeswoman for the box office on Monday confirmed. According to press reports, the United IKK needs at least 50 million euros in aid. The biggest problem is the insufficient allocations from the health fund, because the regional inequalities are not compensated, as an IKK spokeswoman said. Currently, check if „competitiveness can be maintained in the long term“. However, you still waive an additional contribution, because the reserves of the health insurance are currently sufficient. Probably whitewashed additional contributions are avoided until the last, because the bill of exchange is quite high.

In contrast to the small City BKK (about 180,000 insured), around 1.6 million people in the United IKK have health insurance. This makes the health insurance fund one of the 15 largest health insurance companies in Germany. Vereinigte IKK has locations in Bavaria, Hamburg, Lower Saxony, North Rhine-Westphalia and the new federal state of Saxony-Anhalt.

Around 150 million euros closing costs
If the City BKK from Stuttgart were to be closed, the company funds would have to raise around 150 million euros in closing costs. Alternatively, the BKK network could raise around 50 million euros to help the ailing fund. Unlikely, but also possible would be finding a solvent fusion partner. However, hardly a well-positioned health insurance will get involved in such a step. Rather, it seems likely that the compound of the City of BKK's funds will help financially, as the cost of closure would outstrip support payments. In addition, the Association Association of health insurance funds had already in November 2010, a 40 million euro aid package laced.

Additional contributions cause membership loss
A hindrance to a secure future is likely to be the very high additional contributions. If the cash register increased an additional € 8 in the last year, since January 2011 it has been a hefty € 15 per month and a contributory member. Industry experts estimate that 10,000 members of the board changed due to the additional contributions. About a quarter of the remaining people refused to pay, so the introduction due to the dunning process will incur more administrative costs than benefits.

At the end of 2011 only 150 health insurance companies
The dissolution process of the currently 156 health insurances is politically wanted. The then Federal Health Minister Ulla Schmidt (SPD) considered it sufficient, if there are only about 30 to 50 health insurances in the future. The health fund had been specially conceptualized. Therefore, the Federal Insurance Office assumes that at the end of 2011 there will be only about 150 health insurance companies.

Insurance coverage also applies in the event of insolvency
Many insured members of the United IKK and City BKK are worried. But fears that bankruptcy would result in a loss of health insurance cover are unfounded. If one of the two endangered health insurance funds can no longer pay for therapy offers, clinic fees, pharmaceuticals or medical bills, the other health insurances existing in the respective association must pay for and share the costs. In the case of the City BKK these would be the company funds (BKK) and at the United IKK the guild funds. If the financial resources are not sufficient, all other statutory health insurance companies have to step in as well. Only when these two ways are exhausted, the state has to help out.

Cash change after closing
For insured persons, this means that in any case they will not be left alone to pay. Hospitals, therapy facilities or general practitioners are not allowed to refuse treatment because of the threatening financial situation of the health insurance fund. Now, if actually closed a box office, there is a free choice of a new funds for those affected. However, after a closure, this step should be as far as possible in the first four weeks, since otherwise the employer, the Federal Employment Agency or even the pension insurance institution itself selects a new health insurance, so that the insurance cover remains. (Sb)

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Picture: Uschi Dreiucker