Health Insurance

Things to Consider When Choosing Health Insurance in Germany

Written by Clara | Feb 10, 2026 6:30:59 PM

Things to Consider When Choosing Health Insurance in Germany

Moving to Germany is an exciting step. However, figuring out the healthcare system can feel a bit more complicated. Health insurance is one of the first important decisions you'll have to make as an international resident, and it's normal to feel unsure at the beginning. 

 

The good news is that once you understand how the system works, choosing the right health insurance becomes much easier. In this guide, we'll explain everything you need to know so you can make an informed decision and move forward with confidence.

How the German Healthcare System Works

Germany has one of the oldest and most comprehensive healthcare systems in the world. The principle behind the system is simple: people contribute to it, and in return they receive access to healthcare when they need it.

There are two main types of health insurance in Germany:

  • Public health insurance (Gesetzliche Krankenversicherung, or GKV). A solidarity-based system that covers around 90% of people living in Germany. Contributions are typically based on income.
  • Private health insurance (Private Krankenversicherung, or PKV). An alternative option available to people who meet certain income or employment criteria.

In addition, many people choose supplementary private insurance to complement their public coverage and access additional services.

Your Income Determines Your Options

Your earnings play a central role in which type of insurance you can choose.

If you earn below €77,400 per year (2026 threshold)

In this case, you'll need to join the public health insurance system (GKV). While it may sound restrictive at first, the system is designed to provide strong protection and predictable costs. Here's how it works: 

  • Your premium is based on your income (around 14.6% plus an additional 1–2% depending on the provider).
  • Contributions are capped at the income ceiling (Beitragsbemessungsgrenze), currently €69,750 per year.
  • Your employer pays half of your premium.

Example: If your income reaches the contribution ceiling, your monthly premium will typically be around €430-€450, with your employer contributing roughly the same amount.

If you earn above €77,400 per year

Once your income passes this threshold, you become eligible to choose private health insurance (PKV) instead of the public system. Private insurance works a little differently. Your premium is calculated based on:

  • Your age when you join
  • Your current health status
  • The level of coverage you choose

Because of this, timing matters. The younger and healthier you are when you join private insurance, the more favourable your premiums are likely to be.

What About Pre-Existing Conditions?

This is one of the biggest differences between the two systems:

  Public (GKV) Private (PKV)
Pre-existing conditions Never an issue May affect premiums or coverage
Acceptance Guaranteed Requires a health assessment

If you have a pre-existing condition, public health insurance provides full protection: you can't be denied coverage or charged more because of your health.

Private insurers must still accept applicants under German regulations, but they may apply a risk surcharge or offer coverage with certain limitations.

 

What's Covered?

Public Health Insurance (GKV)

The public system provides comprehensive, reliable coverage, including:

  • Hospital care (as a ward patient)
  • GP and specialist visits
  • Prescription medications
  • Basic dental care
  • Pregnancy and maternity care
  • Sick leave certificates for your employer
  • Sick pay (Krankengeld): up to 70% of your gross salary after your employer's continued payment period ends

Private Health Insurance (PKV)

Private insurance includes everything covered by the public system, but often with additional benefits and more flexibility. Depending on your plan, this may include:

  • Single or double hospital rooms instead of shared wards
  • Direct access to specialists without a GP referral
  • Extended dental coverage, including professional cleanings and higher reimbursements
  • Coverage for alternative treatments such as acupuncture or naturopathy
  • Shorter waiting times for appointments in many cases
  • Premiums that are not directly tied to your income or your age, so they don't increase simply because you get older

Family Coverage: Who's Included?

One of the biggest advantages of public health insurance is family insurance (Familienversicherung). With GKV:

  • Your spouse and children can often be covered at no additional cost.
  • This applies if family members earn less than €520 per month (the current mini-job threshold).

With private insurance, each family member needs their own individual policy,  which can increase costs if you're covering a partner or have several children. 

Can You Switch Between Systems?

Switching between public and private health insurance is possible, but it comes with strict rules:

Switching from... To... Requirements
Public (GKV) Private (PKV) Earn above €77,400/year for at least 12 months, or be self-employed
Private (PKV) Public (GKV) Must earn below the threshold and be under 55 years old

Switching from private back to public becomes much harder after age 55. This is an important long-term consideration, especially if you're thinking about starting a family or anticipate changes in your career.

Why Getting This Right Matters

We often see that international residents treat health insurance as just another box to tick for their visa application, but The choice you make affects your finances, access to care, and your family’s security for years to come.

Here's what we recommend:

1. Avoid short-term "expat" policies. These often exclude pre-existing conditions and can leave you vulnerable and exposed.

2. Think long-term. Consider where you’ll be in 5, 10, or even 20 years.

3. Don't rush. Take the time to understand your options before signing anything.

How We Can Help

Choosing health insurance shouldn't be stressful. At Stay, we provide clear, personalised guidance to help you find the right coverage for your situation. This is how we can help:

  • Free consultations. We explain your options in plain English with clear, transparent and easy-to-understand language. 
  • We compare 200+ providers. Our data-driven approach shows exactly how GKV and PKV match your situation, so you can make the best choice.
  • Full support. We take care of the paperwork so you can focus on getting settled in Germany.
Choosing a health insurance plan is not easy, we've been there too, and we're here to help. If you'd like personalised support, arrange a free consultation with us today!