Health Insurance

Health & Insurance

Health insurance in Germany is obligatory for every resident, including the self-employed and all expatriates. International health insurance is not officially accepted as a substitute for national health insurance in Germany. Health insurance is also a prerequisite for residence or work permits.

You cannot start working without having health insurance in Germany. Any German employer who wants to legally employ you will ask for your health insurance information beforehand. It is the employer’s duty to share the costs of health insurance with the employee as well as to deduct and forward the employer’s insurance contribution automatically from the salary.

Only if you have some sort of special status (e.g. when seconded to Germany by a company for a limited time) is it possible to avoid signing up for health insurance in Germany. The issue of international health insurance for resident expats is a grey area: It may be tolerated, but you shouldn’t rely on it.

One typical aspect of the German healthcare system is the coexistence of private and public health insurance. The option available to you depends on a variety of criteria. In both cases, you have many insurance companies to choose from, and either way, employers and employees share the insurance costs evenly between them.

However, health insurance in Germany does not cover all health-related expenses. Your health plan does not include nursing care. Contributions to nursing insurance and to the German retirement fund are subtracted separately from your salary. Health insurance in Germany does not cover work-related accidents and disabilities, either. Your employer takes care of the former; the latter is regarded as your responsibility. If you are self-employed, insurance matters are your own responsibility and you have to contribute all expenses related to health insurance in Germany yourself.

Health Insurance in Germany: Finding the Right Plan

There are over 150 companies providing health insurance in Germany. Services and prices of public insurance plans and private portfolios vary considerably. The premiums for public health insurances are fixed at a certain percentage of your income, though. This leads to a lot of competition for providing different services among public insurance companies. However, government regulations ensure some minimal coverage.

You can always add optional services, which makes a thorough comparison of insurance companies rather complex. For example, some insurers may include travel insurance outside the European Union, coverage for accidents during high-risk sports, or Chinese medicine. Other companies offer benefits and reimbursements if you participate in preventative programs and regular checkups.

One of the most important decisions when it comes to health insurance in Germany is the choice between public and private plans. Apart from the level of insurance coverage you prefer and the amount of money you can invest, several other factors play a significant role:

your age

your legal status and family status

your income and job prospects

the intended duration of your stay

So you need to consider the following questions: Who is covered? What is covered? And how much will it cost? The answers to these questions reveal significant differences between public and private health insurance in Germany.

Practice, Practice, Practice!

Practice, Practice, Practice!

The basic rule for learning German – or any other language – is simple: Practice, practice, practice. All four aspects of your language skills need regular training, or you’ll soon forget everything you have learned before.

Therefore, try to make some space in your busy schedule for two things: language lessons where you hear new words, and homework or repetition to memorize the content of your latest class. Both the language course and your own studies should include exercises for passive knowledge (listening and reading) as well as active skills (speaking and writing).

Bankruptcy and Student Loans

Bankruptcy and Student Loans

Period of college, many students rack up enormous amounts of debt in the form of student loans. And although many private student loans that are credit based may be eligible for discharge during a bankruptcy proceeding, those loans that were obtained from the United States Department of Education do not qualify for discharge under the U.S. Bankruptcy Code. If the majority of your past due and delinquent debt consists of student loans, bankruptcy is usually not the best option.

Better Options For Student Loan Borrowers

Bankruptcy can represent a new beginning for many borrowers, but the effects of filing bankruptcy can be felt on your credit file for as long as the next decade. Although many borrowers, especially students with massive amounts of student debts, often feel that there is no other option or that there are other alternatives, managing your student debt can be accomplished in other ways.

Forbearance and Deferment Options

Once you have graduated and received the last degree that you will be working on, most student loans are written so that you must begin repayment after six months. However, if you are unable to find work, there are ways to get around paying on your loans until you become gainfully employed. One such way is through forbearance. During forbearance, your loans will continue to incur interest, but you will not be required to pay.

Forbearance can give you a reprieve from paying on your student loans until you are better off to do so financially; however, forbearance will only be granted for a short period of time and a limited number of times over the life of your accumulated loans.

A better solution to forbearance of your student loans may be deferment, which is an entitlement under the U.S. Department of Education. Deferment is much like forbearance, although in certain instances, interest may not continue to accrue, although that fact differs from lender to lender.

Student Loan Consolidation

Another option is student loan consolidation. As a borrower, you no doubt have multiple loans with multiple lenders or servicers, which means that you will make multiple payments. During student consolidation, student borrowers can consolidate the entire bulk of their loans into one big loan with one monthly payment that better meets their financial ability to repay their student debt. You can consolidate both private and government loans.

Defaulting on Your Student Loans

Managing your loan payments may be difficult, but by actively working with your lender or consolidating your loans, you can get through the repayment period and get on with your life and your career. The outcome for those who do not take repayment of their loans seriously is grim. The U.S. government can seize any income tax refunds that you are entitled to, and can actually garnish your wages at your future place of employment.

Additionally, your credit rating will bear the scars of defaulting on your federal student loans for many years, and you will always owe the government (and the government always collects). The only way to have your loans completely discharged is if you become legally disabled.