Public vs. Private | ARAG Private Health Insurance in Germany

Public Health Insurance vs. Private Health Insurance in Germany

Public Health Insurance vs. Private Health Insurance in Germany – Whats the Difference?

Comparison table showing the main differences between Germany’s public (GKV) and private (PKV) health insurance in 2025.

Criteria	Public Health Insurance (GKV)	Private Health Insurance (PKV)
Premium Costs	Income-based (approx. 17-18% of gross salary)	Based on age, health, and selected plan
Coverage	Standard benefits regulated by law	Customizable plans, often superior coverage
Choice of Doctors	Limited to doctors accepting public insurance	Free choice, including private specialists
Hospital Stay	Standard care in multi-bed rooms	Choice of private or semi-private rooms, chief physician care
Treatment Methods	Only scientifically recognized treatments	Advanced treatments & alternative medicine
Family Coverage	Spouse & children covered at no extra cost	Each family member needs a separate policy
Premium Refunds	Not available	Possible if no claims are made
Age Reserves	None – contributions rise with overall system costs	Built-in reserves to stabilize premiums in old age
Premiums in Old Age	Increases due to government adjustments	More stable due to saved reserves or lower due to contribution relief component
Switching Options	Switch to private only if annual income > €73,800 (2025) or self-employed	Returning to public is only possible until age 55.

The public health insurance (GKV) is ideal for families with low incomes or for those who prefer simple administration.