Long-Term Care Supplementary Insurance: Actively shape financial security in the event of needing care and close gaps in coverage
9 May 2025
4
Minutes
Katrin Straub
CEO at nextsure
The statutory nursing care insurance often only covers a fraction of the actual care costs. A private supplementary nursing care insurance can fill this gap and protect your assets. Learn how to find the right coverage for your needs.
The topic in brief and concise terms
The statutory long-term care insurance only covers part of the care costs; therefore, a private supplementary long-term care insurance is essential to avoid high personal contributions often exceeding €1,500 per month.
There are various types of supplementary long-term care insurance (e.g., daily care allowance, care costs, Pflege-Bahr), the choice of which depends on individual needs and financial possibilities.
Factors such as waiting times, health issues, and specific services (e.g., for dementia) need to be carefully examined before signing a contract to ensure optimal protection.
Understanding the Care Cost Trap: Facts and Figures
The costs of a care home place are significant and continuously rising. In January 2024, the national average personal contribution in the first year was €2,576 per month. This amount consists of care costs, accommodation, meals, and investment costs. Statutory long-term care insurance is designed as partial coverage and therefore does not cover all expenses. Many underestimate the coverage gap that is often over one thousand five hundred euros. This financial burden must be borne by those in need of care or their relatives. Without a private long-term care insurance, this can quickly lead to overwhelm. The necessity of additional provision is therefore evident.
Care grade benefits: What basic protection offers
Since 2017, there have been five levels of care that reflect the need for support. For instance, care level one provides a relief amount of 125 euros per month. In care level two, the benefits for in-kind care services increase to up to 796 euros. For full inpatient care in a home, the care fund provides 1,319 euros in care level three. In the highest care level five, up to 2,096 euros can be allocated for inpatient care. However, these amounts only partially cover the pure care expenses. An overview of the statutory care benefits is important for determining the need. The remaining gap highlights the significance of supplementary care insurance.
Types of Supplemental Long-Term Care Insurance: Choosing the Right Option
There are different types of supplementary care insurance to close the care gap. The most well-known are:
Daily care allowance insurance: Pays an agreed daily rate, regardless of the actual costs. This is the most flexible and common option.
Care cost insurance: Reimburses the proven remaining costs after the statutory fund's advance payment.
Care annuity insurance: Provides a monthly pension in the event of care, often only from higher care levels.
State-supported Pflege-Bahr: Offers a subsidy of five euros per month with a personal contribution of at least ten euros.
The choice depends on your risk appetite and financial situation. A comparison of supplementary care insurance tariffs is essential. This way, you can find the optimal protection for you.
Practical Example: How the Long-term Care Supplementary Insurance Works in Case of Emergency
Suppose Mrs Müller (75 years old) requires full inpatient care (care level four). The nursing home costs amount to 3,500 euros per month. The statutory long-term care insurance contributes 1,855 euros for this (as of 2025). This leaves a coverage gap of 1,645 euros. If Mrs Müller has taken out daily care allowance insurance with a daily rate of 50 euros, she receives an additional 1,500 euros (50 euros x 30 days). This reduces her personal contribution to only 145 euros. Without this coverage, she would have to meet the 1,645 euros from her pension or her assets. This example shows the immense relief provided by health and long-term care insurance. The financial worry in the event of needing care is significantly reduced.
Expert depth: Waiting times, health questions and Pflege-Bahr
When taking out supplementary long-term care insurance, there are several details to consider. Many policies include health questions; pre-existing conditions can lead to risk surcharges or rejection. Some insurers offer policies without waiting periods, so the cover is effective from the start of the contract. Others have waiting periods of up to three or five years. The state-backed Pflege-Bahr does not require health questions but has a general waiting period of five years. Our expert tip: Clarify these points thoroughly before concluding the contract. The conditions for dementia benefits are also an important aspect, as special regulations often apply here. Early engagement with these topics ensures the best protection for you.
Optimising Contract Terms: Cancellation and Adjustment
A supplementary nursing care insurance can usually be cancelled with a notice period of three months at the end of the insurance year. Many insurers waive their ordinary right to cancel within the first three years, providing you with additional security. In the event of premium increases, there is often a special cancellation right. However, it is rarely advisable to cancel an existing policy without adequate replacement, as already paid contributions and acquired rights may be lost. Instead, consider options such as an adjustment of contributions or a change of tariff within the company. A compulsory insurance is the statutory one, the private supplement is your choice. A careful review of the contract details is crucial.
Your path to optimal coverage with nextsure
The complexity of long-term care provision requires an individual approach. There is no one-size-fits-all recommendation. Your life situation, financial capabilities, and personal wishes are crucial. Use our expertise for a tailored solution. At nextsure, we help you navigate the tariff jungle and find the right supplementary care insurance for you. Comprehensive advice can help you effectively close the care gap in the event of a long-term care need. This not only safeguards your assets but also your self-determination in old age. The right provision gives you the freedom to focus on what really matters.
Request an individual risk analysis now: Have your insurance situation reviewed for free and receive concrete optimisation suggestions.
More useful links
Bundesgesundheitsministerium provides comprehensive information on the German long-term care insurance.
Bundesgesundheitsministerium offers a detailed overview of the benefits of long-term care insurance.
Statistisches Bundesamt (Destatis) delivers up-to-date statistics on the topic of care in Germany.
Statistisches Bundesamt (Destatis) offers a detailed statistical report on care outcomes in Germany.
Verbraucherzentrale provides information about supplementary long-term care insurance as effective protection in old age.
Verbraucherzentrale gives advice on signing up for supplementary long-term care insurance with government support.
GKV-Spitzenverband offers essential information on statutory long-term care insurance.
PKV (Verband der Privaten Krankenversicherung e.V.) explains how private long-term care insurance works.
PKV (Verband der Privaten Krankenversicherung e.V.) provides a brochure on mandatory private long-term care insurance.
Wikipedia offers a comprehensive overview of long-term care insurance in Germany.
FAQ
How much does supplementary nursing care insurance cost per month?
The costs can vary greatly depending on the age at entry, health condition, and desired level of coverage (e.g., the amount of daily allowance). Younger individuals often pay only 20 to 50 euros per month for good protection.
Do I need to answer health questions for supplementary long-term care insurance?
For most plans, yes. An exception is the state-sponsored Pflege-Bahr, which can be taken out without a health check, but it has a five-year waiting period.
What happens if I can no longer pay the contributions for supplementary long-term care insurance?
Many contracts offer options such as premium exemption or reduction of benefits. Termination should be the last option, as insurance coverage and paid contributions can be lost.
Does the supplementary nursing care insurance also provide coverage abroad?
The benefits abroad depend on the tariff. Some insurers provide worldwide coverage, while others limit their services to the EU or have specific regulations in place. This should be clarified in advance.
Can I also take out supplementary care insurance for my parents?
Yes, you can take out an additional care insurance policy for your parents, provided they agree and answer the health questions truthfully. You will be the policyholder, and your parents will be the insured persons.
What role does the care level play in the benefit amount?
The level of care is crucial for the amount of benefits. Generally, the payout increases with a higher level of care. Many policies provide benefits starting from care level one, some even in cases of diagnosed dementia without a care level.
