A recently enacted decision establishes the Annual Adjustment Index (AAI), a benchmark that will guide premium increases in long-term health insurance policies. The initiative aims to prevent excessive hikes in premiums while offering policyholders and companies a more balanced and transparent framework.
The task of calculating the index has been assigned to the Hellenic Statistical Authority (ELSTAT), which will draw on anonymized data submitted by insurers through the Hellenic Association of Insurance Companies. Each year, by mid-December, ELSTAT will publish the AAI, reflecting the average annual change in hospitalization costs borne by insurers for private healthcare. The calculation will take into account all types of expenses associated with hospital treatment, ranging from doctors’ fees, hospital stays, and medication to surgeries, diagnostic tests, equipment use, medical supplies, and additional services such as ambulances or private nursing. By covering this wide range of costs, the index is intended to capture as accurately as possible the financial burden faced by insurers in real terms.
Although the AAI will serve as the principal reference point for adjusting premiums, it will not be the sole determinant. Insurance companies will continue to consider other factors, including deductibles, coverage limits, and co-insurance clauses. Age remains a particularly important variable, as the likelihood of requiring healthcare services increases significantly over time.
The regulation also imposes strict quality standards on the data provided by insurers, demanding both completeness and verifiability. To ensure transparency, the methodology used in calculating the index will be made publicly available on ELSTAT’s website. Furthermore, insurers will be required to publish premium adjustments for each of their products on their own websites, specifying the percentage increase and the date it comes into effect.
The first Annual Adjustment Index is scheduled for release in December 2025 and will be applied to premiums from January 1, 2026.
