If you are an employee and considering a move from statutory health insurance (GKV) to private health insurance (PKV) in 2027, you will meet a new reference figure: the compulsory insurance threshold. It decides whether you may leave the statutory system at all. This guide explains which thresholds the draft regulation for 2027 sets, how to apply them to your income, and why the threshold alone does not settle the question.
Short answer: Employees may switch to PKV only if their regular annual earnings exceed the compulsory insurance threshold. The draft regulation for 2027 sets this threshold at 84,150 euros a year (7,012.50 euros a month), up from 77,400 euros in 2026. Last updated: November 2026. The regulation is not yet in force.
The most important points
- The general annual earnings threshold under section 6 (6) of the Social Code Book V (SGB V) is planned at 84,150 euros for 2027. The source is the draft regulation (Bundesrat printed paper 576/26 of 7 October 2026), last updated November 2026.
- The value for 2026 is 77,400 euros a year. The increase to 84,150 euros is 6,750 euros a year (calculated).
- Compulsory insurance ends only at the close of the calendar year in which you exceed the threshold (section 6 (4) SGB V). If you cross the threshold during a year, you need to plan the switch in advance.
- For employees who were already privately insured and exempt from compulsory insurance on 31 December 2026, the draft sets a separate threshold of 80,550 euros a year.
- The threshold only decides whether you may switch. Costs depend on the tariff, your age at entry, your health and the benefits you actually need.
What the 2027 draft changes for the thresholds
The Federal Ministry of Labour and Social Affairs sets the reference values of social insurance by regulation every year. The federal cabinet adopted the draft for 2027 in October 2026. It has been submitted to the Bundesrat (the upper house of parliament) as printed paper 576/26. The Bundesrat has not yet given its consent, and no date for that decision is known. Until then, the figures in the draft are not binding law.
The table below shows the three thresholds that the draft names in its section 2. Monthly values are the annual values divided by twelve.
| Threshold | Legal basis | Annual value 2027 | Monthly value 2027 |
|---|---|---|---|
| General annual earnings threshold | Section 6 (6) SGB V | 84,150 euros | 7,012.50 euros |
| Further threshold (para. 7) | Section 6 (7) SGB V | 72,900 euros | 6,075 euros |
| Threshold for existing cases | Section 6 (8) SGB V | 80,550 euros | 6,712.50 euros |
For comparison, the general threshold in 2026 was 77,400 euros a year, or 6,450 euros a month. The figure is set out in section 2 of the Social Insurance Reference Values Ordinance 2026 (in force since 1 January 2026) and matches the fact sheet of the GKV-Spitzenverband, the umbrella body of the statutory health insurers (status 1 January 2026). The draft also names a further threshold under paragraph 7. Whether it matters for you depends on your individual case, and the regulation itself describes the situations it covers.
When a switch is arithmetically possible at all
The threshold does not look at your net pay or your total household income. What counts is your regular annual earnings from employment, and family-related supplements are disregarded. If you are a blue-collar or white-collar employee whose earnings are above the threshold, you no longer belong to the group that is compulsorily insured (section 6 (1) no. 1 SGB V). Self-employed people are not covered by this rule and have their own conditions.
A simple example shows the effect. Assumption: you can realistically project your regular annual earnings for 2027. The table below shows what follows in three cases.
| Regular annual earnings | Distance from the threshold of 84,150 euros | Consequence for health insurance |
|---|---|---|
| 80,000 euros | 4,150 euros below | Compulsory statutory insurance continues |
| 84,150 euros | exactly at the threshold | Compulsory insurance continues, because the threshold has to be exceeded |
| 90,000 euros | 5,850 euros above | You may switch to PKV, and compulsory insurance ends at year end |
Two details matter here. First, the earnings that count are those you can regularly expect, not a one-off bonus paid in one year. Second, there is an exception even if you exceed the threshold: compulsory insurance does not end if your earnings do not exceed the threshold that applies from the following calendar year (section 6 (4) sentence 2 SGB V). If you are just above the threshold and fall back below it the next year, have this checked carefully.
Why the threshold is not the whole calculation
Moving to PKV is a right, not a duty. Whether it pays off only becomes clear when you compare running costs over many years. Several factors play a role that have nothing to do with the threshold.
- Age at entry and health: in PKV, insurers calculate premiums according to risk. Younger and healthier applicants usually start at a lower price, and health questions at the time of application are decisive.
- The tariff: the scope of benefits, the deductible, hospital and dental cover, and the rules on premium refunds differ from tariff to tariff and from insurer to insurer.
- Premium adjustments: PKV premiums can also rise over the years. How such adjustments work is set out in the terms of your tariff and in the notice from your insurer.
- Family members: the premium-free family insurance of the GKV does not exist in PKV. Spouses and children need their own contracts, which changes the overall calculation considerably.
- Employer contribution: whether and how much your employer contributes to PKV premiums is best clarified with HR before you apply.
For how premiums in PKV can develop over time, see our guide on the health insurance glossary. For the question of how to react to an increase, the guide on premium adjustments in PKV (in German) is the better starting point.
GKV or PKV: the differences at a glance
The table below sets out the basic logic of both systems. It does not replace a tariff comparison, but it helps you ask the right questions.
| Feature | Statutory health insurance (GKV) | Private health insurance (PKV) |
|---|---|---|
| Premium | Income-related, from the contribution rate and the additional contribution of the fund | Depends on tariff, age at entry and health check |
| Family members | Covered free of charge under conditions | Not automatic, separate contracts needed |
| Benefits | Statutory catalogue of benefits | Agreed in the tariff, with large differences |
| Return | Return from PKV only under certain conditions and deadlines | Switching within PKV depends on the tariff terms |
Step by step: how to check a switch
- Work out your regular annual earnings for 2027 and leave out one-off payments that do not recur.
- Compare this figure with the general threshold of 84,150 euros and check whether the rule for the following year applies.
- Ask for a multi-year cost comparison of at least two tariffs, including possible premium adjustments.
- Clarify with your employer how the contribution to PKV premiums works, and plan the timing of the switch well before year end.
Frequently asked questions
Does the threshold of 84,150 euros already apply in 2026?
No. The threshold for 2026 is 77,400 euros a year. The 2027 value only becomes binding once the Bundesrat has agreed to the regulation. Until then it is a draft, even though the cabinet has already adopted it.
What happens if my salary falls again later?
A switch to PKV cannot simply be reversed. A return to the statutory system is tied to conditions and deadlines, which you can read about in our guide on returning to the GKV (in German). For that reason, do not make the step because of a single year of higher earnings.
Does the threshold also apply to self-employed people?
No. The compulsory insurance threshold concerns blue-collar and white-collar employees whose annual earnings exceed it. Self-employed people have their own rules and should have them checked separately.
Do I need to know the threshold to the euro?
For a first check, an approximate figure is enough. For the application, however, the actual earnings count, and the health insurer or insurer will check them. Plan with a small safety margin rather than calculating right at the threshold.
What to do now
- Read the overview PKV 2027 and place your situation within it.
- Project your 2027 earnings realistically and compare them with 84,150 euros.
- Obtain at least two tariff offers with complete benefit descriptions for your case.
- Get personal advice if you are unsure. Academycon offers individual advice, see how we work (in German).
Related guides
- PKV 2027: limits, premiums and changes at a glance
- Private Health Insurance for Working Students in Germany
- Public or Private Health Insurance for International Students
- Returning to the GKV: when a switch from PKV is possible (in German)
- Health insurance for students: glossary from A to Z
Sources: Bundesrat printed paper 576/26, draft regulation on the social insurance reference values for 2027 (dated 7 October 2026); Federal Ministry of Labour and Social Affairs, social insurance reference values regulation 2027 (October 2026); Sozialversicherungsrechengrößen-Verordnung 2026, section 2 (November 2026, current version); GKV-Spitzenverband, fact sheet on reference values for contribution law (1 January 2026); Social Code Book V, section 6 (gesetze-im-internet.de, current version).
Last updated: November 2026. This guide is general information, not individual advice.
