CZ bumps health insurance premiums to €138.25; Can no longer guarantee care to everyone

Healthcare that is always accessible to everyone. Health insurer CZ can no longer promise that, CEO Joep de Groot said in an interview with the Telegraaf. CZ will increase the premium for its basic health insurance policy to 138.25 euros in January, an increase of 3.75 euros per month.

Although health insurers have a duty of care, they can’t eliminate waiting lists in healthcare. According to De Groot, the limits of the healthcare system have been reached. “I can’t guarantee that healthcare is always accessible to everyone. In fact, I think I can almost guarantee it isn’t,” he said to the newspaper.

CZ is the third largest health insurer in the Netherlands, with 3.7 million policyholders. The insurer used a considerable amount of equity capital to keep the premium increase as limited as possible, said De Groot. Last year, the health insurer spent 250 million euros to limit the premium increase. But that won’t be possible every year, he warned. “Those reserves have a limit.”

When that limit is reached depends on what the health insurer’s investments yield. Last year they made a profit, but this year they made a loss. According to De Groot, CZ can still absorb that loss this year and next. But in the long run, something needs to be done to curb the rising healthcare costs and premiums. Due to the aging population, the demand for care is increasing, while the number of hands to provide extra care lags behind.

He also sees an increase in the number of policyholders who can no longer afford the premium and request payment arrangements. He finds that worrying, especially with premiums rising again in January. According to De Groot, a reorganization of healthcare is urgent.

He expects a lot from the Integrated Care Agreement, including that matters that don’t belong to health insurers end up more in the social domain. There will also be a stricter look at whether certain treatments are desirable. But in any case, according to De Groot, these are not measures that will reduce costs in the short term. He does, however, think that the longer the healthcare reform is delayed, the greater the challenge will become.