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The DRG reimbursement system in Germany.

Schreyögg J, Tiemann O, Busse R
EuroObserver 7(4): 4-6




The Statutory Health Insurance Reform Act of 2000 introduced a new system of reimbursement based on an internationally used system of Diagnosis Related Groups (DRGs). This represents the most significant reform in the German hospital sector since the system of dual financing was introduced in 1972. The primary motive for fundamentally reforming the old reimbursement system based on per diem charges was to engender a more appropriate allocation of resources under DRGs. The step-by-step implementation of the system also represents an innovative approach to implementing policies and legal provisions, as the legislation has defined only the goals and tasks, as well as the time-frame and roles of the different players - reflecting the fact that this is a ‘learn as you go system'.

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