What happens to my private health insurance if I become unemployed in Germany?
In short
What happens to my private health insurance if I become unemployed in Germany? Under 55, unemployment benefit usually makes you compulsorily insured in public health insurance. If you were not publicly insured in the last five years, you can get exempted within three months; the employment agency then pays your private premium up to the public contribution. From 55 you usually stay private.
Amounts that matter for private health insurance during unemployment in Germany, 2026.
Example
Typical range
Employer subsidy that ends, health and care insurance
up to 613.22 euros a month
Basic tariff, maximum premium
1,017.18 euros a month
Basic tariff when in need of assistance
508.59 euros a month
Deadline for exemption from compulsory insurance
3 months from the start of compulsory cover
How much the employment agency pays exactly depends on the public contribution it would have to
pay for you.
Premiums in the worked example are indicative figures from quoting practice.
Worked example
Engineer, 47, privately insured for twelve years
He loses his job and receives unemployment benefit. He wants to stay private.
Private premium so far
760 euros a month, 380 euros of it from the employer
Five years without public insurance
yes, exemption possible
Exemption application
within three months to a public fund
Premium during unemployment benefit
paid by the agency up to the public contribution
He keeps his tariff and ageing reserves. He pays whatever exceeds the public contribution himself, and with the exemption gives up the route back to public insurance for this period.
With unemployment benefit: compulsory cover or exemption
Anyone receiving unemployment benefit is insured by law in public health insurance (gesetzliche Krankenversicherung). This also applies to privately insured people under 55. You can then cancel your private health insurance retroactively if you prove the new membership within three months.
If you were not publicly insured in the five years before receiving unemployment benefit, you may apply for exemption and stay private. You submit the application to a public health fund within three months. The exemption cannot be revoked.
Your situation
What happens to your private health insurance
Who pays
Under 55, unemployment benefit, no exemption
public fund; cancel private cover or keep a dormant policy
employment agency pays the public fund
Under 55, unemployment benefit, exemption
private cover stays
agency up to the public contribution
55 or older, long privately insured
private cover stays, not compulsory
agency up to the public contribution
Basic income support from the jobcentre
private cover stays
jobcentre up to the halved basic tariff
No benefit, for example because of savings
private cover stays
you, full premium
Exemption or public health insurance?
In favour of exemption: your tariff stays with all its benefits and your ageing reserves. If your private premium is below what the agency would have to pay to a public fund for you, it covers the premium in full.
Against exemption: you leave a chance to return to public health insurance unused. If you are younger, plan children or want to go back anyway, do not take this decision lightly, because it is irrevocable. If you join a public fund, a dormant policy (Anwartschaft) keeps your private tariff open.
From 55: you usually stay private
If you become subject to compulsory insurance after your 55th birthday, you stay exempt if you were not publicly insured in the previous five years and for at least half of that time were exempt, not compulsorily insured or mainly self-employed. That applies to almost everyone who has been privately insured for a long time.
In this case too, the employment agency pays your private health and long-term care premiums while you receive unemployment benefit, at most what it would pay to a public fund.
Without unemployment benefit: jobcentre and basic tariff
If you receive basic income support (Grundsicherungsgeld, called Bürgergeld until 30 June 2026) from the jobcentre, you stay privately insured. The jobcentre pays a subsidy up to the halved premium of the basic tariff (Basistarif), in 2026 that is 508.59 euros for health insurance. If your tariff costs more, switching to the basic tariff is worth it, as its premium is halved when you are in need.
While you are in need of assistance, your contract cannot be suspended for arrears. Ask the jobcentre to certify your need and send the certificate to your insurer.
Sickness allowance and add-on tariffs
Daily sickness allowance (Krankentagegeld) insures lost earnings. Without earned income there is nothing to insure; what happens to the tariff during unemployment is set out in your policy terms. Before cancelling, ask whether you can suspend it so you get it back with a new job without new health questions.
You can often keep dental or single-room add-ons even if you switch to public health insurance. Ask before you cancel.
Step by step
Contact your insurer and the employment agency right after losing your job.
Check whether you were publicly insured in the last five years.
Decide: exemption and stay private, or public health insurance.
Apply for exemption within three months, or cancel private cover in time.
Clarify sickness allowance and add-ons before cancelling anything.
Checklist
Three-month deadline in the calendar
Proof of private cover for the agency
Conscious decision about returning to public insurance
Dormant policy checked if you join a public fund
Need for assistance reported to the insurer if on jobcentre support
Common mistakes
Missing the deadline for exemption
Cancelling private cover without proving public membership in time
Cancelling sickness allowance instead of suspending it
Letting premiums pile up instead of applying for the subsidy
Questions and answers
Frequently asked
Do I have to join public health insurance if I become unemployed?
Under 55 with unemployment benefit usually yes, unless you get exempted.
That is possible if you were not publicly insured for the last five years.
Does the employment agency pay my private premium?
Yes, if you are exempt or not compulsorily insured,
for as long as you receive unemployment benefit, up to the public contribution.
What happens to my ageing reserves?
If you switch to public insurance, they stay with the insurer.
A dormant policy keeps your private tariff open for a return.
What applies with jobcentre support?
You stay private.
The jobcentre pays a subsidy up to the halved basic tariff, up to 508.59 euros in 2026.
What if I receive no benefit at all?
You stay private and pay the full premium.
Check a tariff switch or a higher deductible before arrears build up.
