A comparison of long-term care insurance in Germany and the Netherlands

This paper reports on results of a comparative study of the long-term care systems and relevant laws in Germany and the Netherlands. Information and data used was obtained through articles in the literature. The character of long-term care systems and the major elements of such in both countries are described in detail, including system development, organizational structures, insurance coverage, payment systems, services, delivery systems, and financial mechanisms. Findings-based recommendations are then offered related to Taiwan's long-term care and emerging long-term care insurance systems. Based on the long-term care insurance implementation experiences of these two nations, the authors propose several policy recommendations, including the following: Premiums, taxes, and government subsidies should provide the major sources of funding for the system in order to minimize risk and achieve equity in service. Co-payments should apply to all provided services in order to reduce abuse of the system. Various financial control mechanisms, including controlling benefit levels and ceilings and applying appropriate care management and financial adjustment mechanisms, are also suggested. As national insurance benefits all insured individuals, premium sharing must consider the equity of relevant stakeholders. Developed service delivery systems should be both highly accessible and use a unified evaluation tool to define the needs of the insured. In addition, the long-term care administration organization should coordinate all current long-term care related services.