Please accept the marketing cookies to schedule a meeting.
Accept Now
bKV Calculator
What are the benefits of supplementary health insurance?

What are the benefits of supplementary health insurance?

Key Points at a Glance

  • Your employer-sponsored health insurance costs you nothing—your employer pays the premium.
  • As long as the amount remains within the monthly non-cash benefit exemption limit of 50 euros, the contribution is exempt from taxes and social security contributions.
  • Since you receive these benefits net, 600 euros in reimbursed benefits, with a tax rate of 30 percent, corresponds to approximately 857 euros in gross annual salary.
  • Unused budget funds generally expire at the end of the year and are not paid out.

Why the bKV is worth more than its premium suggests

When you get a raise, you only receive the portion that remains after taxes and social security contributions. Your supplementary health insurance benefits, on the other hand, are paid out in full: whatever the plan reimburses goes directly into your account, without any deductions. That’s why a relatively small premium results in a noticeably larger gross amount.

Here's how to convert

Divide the benefits you received by one minus your contribution rate. With a 30 percent contribution rate and a 600-euro reimbursement, that’s 600 ÷ 0.7—or about 857 euros gross per year—which is the additional amount you’d need to earn to end up with the same total.

How You Benefit

Depending on the plan, the supplementary health insurance (bKV) covers, for example, dental cleanings and dentures, vision aids, preventive checkups, or services provided by alternative practitioners. The value only becomes apparent when you use the coverage—if you’re already going for preventive checkups, need glasses, or are planning a dental cleaning, you’ll get the full benefit.

Do you have to pay taxes on anything?

If the contribution is within the 50-euro monthly exemption limit: no. If the contribution exceeds that amount, it depends on which model your employer has chosen—generally, your employer pays a flat-rate tax on it, so nothing is deducted from your pay. You can find the details that apply to you in your documents.

In closing, a word of honest advice

Simplified sample calculation provided for informational purposes only. The actual reimbursement amounts under your plan are specified in your contract documents—reimbursement rates, maximum amounts, and waiting periods are not included here. Your actual tax burden depends on your tax bracket, church tax, and contribution rates.

Frequently Asked Questions

Do I have to pay taxes on my employer-sponsored health insurance?

As long as the contribution remains within the monthly non-cash benefit exemption limit of 50 euros, it is exempt from both taxes and social security contributions. If the contribution exceeds this limit, it depends on which model the employer has chosen—typically, the employer pays a flat-rate tax on the contribution, so nothing is deducted from the employee’s pay.

How much of a pay raise does my supplemental health insurance cover?

Since the benefits from your supplementary health insurance (bKV) are paid to you net, but a pay raise is subject to taxes and social security contributions, you need a significantly higher gross salary to receive the same amount. With a tax and contribution rate of 30 percent, 600 euros in reimbursed benefits correspond to approximately 857 euros in gross salary per year.

What happens to unused budget?

Unused budget funds generally expire at the end of the year and are not paid out. If you’re planning to have preventive checkups, a dental cleaning, or new glasses anyway, you can get the full value out of your plan. The details are specified in your plan.

Sample Calculation

Your plan has an annual budget of 600 euros. You use the entire amount: a dental cleaning, a new pair of glasses, and a preventive checkup.

  • Reimbursed Amount: 600 euros — net, with no deductions
  • Your tax-to-income ratio: 30 percent
  • Corresponding pay raise: 600 ÷ 0.7 = approximately 857 euros gross per year

So, to pay those same 600 euros out of your own pocket, you'd have to earn about 857 euros more—roughly 71 euros gross per month. Simplified example calculation; figures are not guaranteed.

Sources and References

  • § 8(2), Sentence 11 of the Income Tax Act (EStG) — monthly exemption limit for non-cash benefits of 50 euros

Your contract documents are the sole basis for determining benefits, reimbursement rates, maximum amounts, and waiting periods. The calculation of a salary increase is based on the contribution rate that you enter yourself.

Related Terms from the bKV Wiki

Health Care Budget

The annual amount available to employees for health care services under a budget-based plan.
View Term

Dental prosthetics

Dental care—crowns, bridges, implants, dentures—is one of the most financially burdensome categories of healthcare and, at the same time, one of the most frequently used areas of supplementary health insurance. Budget plans typically reimburse dental care in full within the limits of the available annual budget, sometimes with phased caps during the first few years of the policy.
View Term

Eyeglasses and vision aids

Eyeglasses, contact lenses, and vision aids are the most frequently used benefit category in many supplementary health insurance plans. Typical reimbursements range from 200 to 800 euros per year—often without a medical necessity and without set intervals between claims.
View Term

Preventive medical examination

Preventive medical examinations are health screenings designed to detect diseases at an early stage. Supplementary health insurance (bKV) typically also covers preventive medical examinations that are not included in the statutory health insurance (GKV) coverage list—such as comprehensive checkups, HPV tests, colorectal cancer screening for people under 50, or IGeL services.
View Term

Family Insurance

Family insurance allows family members—usually a spouse and children—to be covered under the employee’s supplementary health insurance plan. Depending on the provider and plan, it may be fully funded by the employer, partially funded, or offered as a self-pay option.
View Term

Portability

Portability refers to the option to continue bKV coverage privately after leaving the company—often without having to undergo another medical examination, but under the terms of an individual contract. This right is usually subject to a time limit following departure from the company.
View Term

More Questions from the bKV FAQ

What happens when the annual supplementary health insurance budget is used up?

Once the annual budget has been used up, additional services will not be reimbursed for the remainder of the year. The budget automatically resets on January 1 of the following year. Some plans allow unused portions of the budget to be carried over to the next year, but this is the exception—in most plans, they expire.
Read the answer

What does the bKV cover for dental prosthetics?

Supplementary health insurance typically covers the full cost of dental prosthetics—crowns, bridges, implants, and dentures—either as part of the annual health budget or through a separate dental coverage option. Standard annual budgets range from 300 to 1,200 euros. Some plans have tiered coverage limits during the first few years of the policy or short waiting periods for major dental treatments.
Read the answer

Which preventive medical exams are covered by the bKV?

Supplementary health insurance (bKV) typically covers advanced preventive care services not included in the statutory health insurance (GKV) catalog—such as annual comprehensive checkups, cancer screening for those under the GKV age limits, HPV tests, services not covered by statutory health insurance (IGeL), travel vaccinations, and modern imaging procedures. A list of eligible services can be found in the respective plan terms and conditions.
Read the answer

How do employees submit invoices to bKV?

Employees submit claims directly to the insurer—typically via an app, web portal, or mail. With app-based insurers, reimbursement takes 5 to 10 business days; with traditional paper submissions, it takes 2 to 4 weeks. The employer is not involved in the process and receives no information about individual claims.
Read the answer

What information about my use of the supplementary health insurance does my employer see?

The employer sees only aggregated and anonymized statistics—such as the overall usage rate and the distribution of service types. Individual data, such as diagnoses, submitted invoices, doctors visited, or services used, remains strictly between the employee and the insurer. This separation is required under the GDPR.
Read the answer

Can family members be covered under the supplementary health insurance plan?

Yes, most supplemental health insurance plans offer family coverage that includes spouses, domestic partners, and children. During the enrollment window (typically 3 to 12 months after the policy begins), coverage can be added without a medical exam. Depending on the plan, premiums for family members are paid by the employer, the employee, or shared between the two.
Read the answer
Get Your Consultation

Ready to make a real difference?

We look forward to getting to know you and your company in person. Once you fill out the form, we'll get back to you right away.

Meeting
Contact Form
Please accept the marketing cookies to schedule a meeting.
Accept Now
🇺🇸