German Chancellor Friedrich Merz and Health Minister Nina Warken announced on 29 April 2026 a comprehensive reform of statutory health insurance aimed at stabilising contributions and keeping the system affordable. The package, approved by the cabinet, includes measures that affect all stakeholders—doctors, hospitals, pharmacies, the pharmaceutical industry, insurers and employers—to curb rising costs. Officials cited an estimated deficit of €15 billion for 2027 that could grow to €40 billion annually by 2030 without the reform, and warned that premiums could rise by up to two percentage points. The reform is described as the largest social‑policy overhaul in two decades and is to be debated and passed by parliament before the summer recess, after which it would enter force following a brief federal council procedure. The government emphasized that no group would be excluded and that future spending would be linked to documented improvements in care.
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