Aging reserves are savings put away for later in life by policyholders in the private health insurance (PKV) system
Please note that old-age provisions are only accrued as part of private health insurance policies. People in Germany with public health insurance pay old-age pension contributions as part of their premiums instead.
The younger you are when you enter the private health insurance system, the lower your premiums will be. One reason for this is that it enables you to start putting aside aging reserves earlier in life, rather than having to pay more to make up ground later on.
Aging reserve accrue interest over time. That can be used to help bring down premiums in later life, thereby counteracting the rising cost of health insurance.
Expats are exempt from the obligation to put aside old-age provisions in the private health insurance system for up to five years. This is part of the reason we are able to offer a special Expat tariff at ottonova.
If you leave Germany indefinitely after putting aside old-age provisions for more than five years, you will not be able to withdraw this money and it will be retained by the insurance collective.
However, if you leave Germany indefinitely after less than five years, you should be able to withdraw accrued old-age provisions. If you leave Germany with the intention of returning at a later date, you should ask your insurance provider to freeze your contract, which should enable you to retain your provisions.