German Health Minister Wants Salary Caps for Health Insurance Executives

German Health Minister Wants Salary Caps for Health Insurance Executives

Federal Health Minister Nina Warken (CDU) intends to include salary caps for the chief board members and executive management at statutory health insurance funds as part of planned financial reforms. According to Warken speaking to the “Redaktionsnetzwerk Deutschland” (Friday edition), she stated that the reforms will not exempt the health insurance funds. She explained, “Therefore, we will not only limit the administration and advertising expenses of the funds, but also the salaries of the executive level and the board members”. Furthermore, she noted that these salaries must no longer increase more sharply than the contributions received. However, Warken currently has no plans to reduce the number of funds through legislative intervention, explaining that “this is a structural issue that cannot be settled in the short term”. She added that not all health insurance funds are comparable. Nevertheless, the minister indicated that the Finance Commission will likely address this in its second report. Currently, there are 93 health funds in Germany.