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Karl Lauterbach’s digital law: criticism from a health startup CEO

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Karl Lauterbach’s digital law: criticism from a health startup CEO

With Karl Lauterbach’s digital law, electronic patient files will be introduced in 2025. A health startup CEO told us what bothers him about it.

Wellster CEO Manuel Nothelfer says the digital law doesn’t go far enough. Getty Images / everythingpossible / Sean Gallup / Wellster / Dominik Schmitt for Gründerszene

The German healthcare system is facing the biggest adjustments in decades – if everything works out. Clinics and CDU politicians have so far opposed the hospital reform planned by Federal Health Minister Karl Lauterbach (SPD). However, things are moving forward with Lauterbachs Digitalgesetz (DigiG), which was passed by the Bundestag in December 2023.

The Digital Act stipulates, among other things, the establishment of electronic patient files (ePA) for all legally insured people from 2025. Private insurance companies can introduce data collection for their customers – but they don’t have to. Data from people who pay for medication etc. themselves is not recorded in the electronic patient file. Self-payers can be either privately insured or legally insured who make use of additional services.

Manuel Nothelfer criticizes this: “The legislature only looks through the lens of the statutory health insurance companies.” The health system is therefore missing important data, says the founder of the health startup Wellster. For him, the digital law doesn’t go far enough.

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Startup CEO criticizes digital law

Many of Wellster’s patients are self-payers, says Nothelfer. His startup offers telemedical consultations and treatments for issues such as erectile dysfunction, obesity and hair loss: common taboos that still make many people afraid to visit a doctor the traditional way.

To date, Wellster doctors say they have treated two million patients. Including many self-payers. In view of the new digital law, their data will not be included in the electronic patient file. This may include important information about side effects or previous illnesses, says Nothelfer.

In principle, the entrepreneur sees the initiative as positive: “The digital law is the next step. The political will is there.” But he would like to see self-payer data also be recorded as standard. “So that Germany as a digital location can maintain its health standards and survive in international competition in the future, telemedicine providers must urgently be given a digital interface outside of the GKV offerings,” he demands.

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Health insurance companies don’t have the time

Nothelfer is not the only one who criticizes the law. Healthcare associations also point to difficulties. To date, the technology works so poorly that it usually takes several minutes before the ePA can even be viewed, according to the Association of General Practitioners.

The umbrella association of statutory health insurance companies called the schedule with an introduction at the beginning of 2025 too tight. The short deadline is a right signal to the industry to bring well-developed products to market as quickly as possible. So that insured people have enough time to make an informed decision and the health insurance companies to prepare, the ePA should not come for everyone until July 2025, according to the demand.

Telemedicine is intended to relieve pressure on medical practices

The digital law also provides for an expansion of telemedicine. For example, with video consultations – this can also close gaps in rural regions. For this purpose, regulations that previously only ensured that practices received reimbursement from the health insurance companies for a limited range of services should be eliminated. The range of certain health apps that patients can get with a prescription will also be expanded.

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“We don’t believe we can replace a complete visit to the doctor,” says Nothelfer. “Instead of poaching patients, we bring patients into the health system who otherwise might not have sought treatment at all.”

The startup is also concerned with its own position in the market. In 2022, Wellster claims to have generated sales of over 25 million euros. Figures for 2023 are not yet available. A total of 70 million euros have been raised in previous financing rounds. Wellster is well capitalized, says Nothelfer. “We are close to the next big milestone: profitability.” We want to achieve this in the next few months.

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With material from dpa

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