Germany's long-term care reform sparks debate over family financial burdens

A debate is underway over proposed changes to Germany’s long-term care insurance system. One key suggestion would extend the period before personal contributions are reduced—from 12 to 18 months in a care facility. Critics warn this could create new financial pressures for residents and their families.

Caritas President Eva Maria Welskop-Deffaa has spoken out against further increases in out-of-pocket costs. She also highlighted the need for stronger support for family caregivers, who play a crucial role in the system. The proposed reform aims to ease short-term costs for the long-term care system. However, Welskop-Deffaa argues that extending the contribution period risks weakening the planned phased relief model. She also cautioned that the change might encourage people to transfer assets to relatives before entering care, undermining fairness.

The Federal Constitutional Court has previously emphasised that generational contributions must carry more weight in funding long-term care. Welskop-Deffaa stressed that any reform should protect key benefits, such as contribution-free family co-insurance and pension coverage for caregivers. She warned that further financial strain on families could follow if these protections are reduced.

Health Minister Nina Warken (CDU) is expected to present a draft reform in mid-May. The proposals come as Caritas raises concerns about growing financial burdens on those needing care and their relatives. The organisation insists that intergenerational solidarity remains central to the system’s stability. The reform could bring short-term savings but may shift more costs onto individuals and families. Welskop-Deffaa’s warnings focus on asset transfers, caregiver support, and the risk of weakening existing protections. The final draft, due next month, will determine how these concerns are addressed.