The German Competition Authority Initiates a Proceeding Against Aids Associations

The German Competition Authority (“Bundeskartellamt”) has published a press release on 23 March 2022 announcing that it will initiate proceedings against medical aid associations for coordinated price increases against health insurance companies.

Several associations of suppliers of medical aids joined forces to demand coordinated price increases in the rehabilitation and care segments from the statutory health insurance companies, which they achieved in some cases. The associations organized themselves under the “ARGE” umbrella and represent in particular health care supply stores and orthopedic workshops. Following initial investigations, the Bundeskartellamt initiated a cartel administrative proceeding against the ARGE members.

Irrespective of the question of whether price adjustments due to increased supply costs are objectively justified in the specific case, the coordinated approach of the supplier side and the collective general demand for overall price increases for different medical aids and contracts could constitute an infringement of competition law. The Bundeskartellamt will examine in its cartel administrative proceeding whether this is the case.

You can reach the full text of the press release here.

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Zumbul Attorneys at Law

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