Competition Commission Addresses Private Health Pricing

A recent study by the Competition Commission revealed a lack of transparency in the pricing of private health services and insurance. This report, released on Tuesday, follows a significant rise in health insurance costs that led to protests and prompted intervention from the development minister.

Earlier this year, a law (5170/2025) was enacted to limit the increase of premiums. An index, called the Annual Adjustment Index for Long-Term Health Insurance, is expected to be established by the independent Hellenic Statistics Office (ELSTAT) by December—and will be used in this context.

Despite this, the Competition Commission expressed doubts about the effectiveness of these legal measures and their alignment with competition regulations.

The report concluded that there were no oligopolies or obstacles to entry in the private health and insurance markets. It acknowledged that while market consolidation through insurance companies acquiring diagnostic centers and health facilities occurred, this behavior isn’t necessarily detrimental to competition and ought to be evaluated individually. The study pointed out that the lack of clarity in pricing often stems from the fact that patients don’t make independent choices about their healthcare needs; instead, these decisions are frequently influenced by their doctors and the agreements between healthcare providers and insurance firms.

The report also delved into the concept of “induced” demand, suggesting that doctors may recommend unnecessary tests and health checks that are beyond what is required for treatment. This situation implies that patients may be urged to obtain additional medical services primarily for financial gain, possibly benefiting both the doctors and the diagnostic centers they collaborate with. Moreover, increased patient visits to private practitioners could yield better financial outcomes for those physicians.