PKV Association sees no losses

The private health insurance association sees no losses: As reported on the weekend, according to press reports, 10 out of 46 private health insurance companies made losses due to the financial crisis. For this reason, the private health insurance providers would have to raise their insurance premiums. The PKV Verband defends itself against such a presumption, the members would not have to adjust to any contribution increases.

(25.10.2010) As the Chairman of the PKV Association Chairman Volker Leienbach explained, private patients would not have to adjust to contributions due to the financial crisis. Opposite the newspaper „Ruhr news“ Leienbach said on Monday that the private health insurance companies had reached a return of 4.2 percent in the last year of 2009. It would therefore be „no problem“, to earn the interest rate of 3.5 percent. In addition, give it „no signs“ that several insurance companies had problems in 2010. However, the head of the PKV acknowledged that there may not always be medical justification for health services that doctors would bill patients with. The goal is now to save on doctors' fees, as Leienbach told the newspaper.

Volker Leienbach, head of the Association of Private Health Insurance (PKV), Volker Leienbach, said: "There are no considerations by the private health insurance association to reduce the maximum interest rate laid down in the calculation regulation, nor do we have any indications that the responsible Federal Financial Supervisory Authority (BaFin) would intend to lower the discount rate in the calculation regulation ".

The business paper „Finacial Times Germany“ had reported on Friday that 10 private health insurance companies have financial problems and could possibly arise due to the global financial crisis, higher insurance premiums for all PKV insured. Low interest rates on the markets would have weighed on the balance sheets of some private health insurance companies.

The background of the report is the interest rate formation of the retirement provisions. In order for insurance cover to remain affordable even in old age, private funds must form part of the premium income. These provisions, amounting to € 144 billion at the time, are required to pay interest at a certain minimum rate. For more than 50 years, this interest rate set by the Federal Ministry of Finance has been 3.5 percent. According to press reports, this year at least 10 private health insurance providers had problems reaching this minimum rate. The reason for this is the currently extremely low interest rates on the markets, which had reached its low point as a result of the financial crisis. To secure the retirement provisions, the contributions would have to be increased. However, this view is not shared by the PKV Verband and points out that the private health insurance companies had reached an average interest rate of 4.2 percent last year. One thing is for sure, for the coming year 2011, the contributions will not be increased in any case, because since the calculations and PKV contribution rates have already been adopted. (Sb)

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Contribution increases of the private health insurance companies
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Picture: Margot Kessler