Only a quarter of self-employed mothers have received maternity benefits
Around 27,000 self-employed women have born a child each year. Unlike women in regular employment, they are not entitled to maternity benefits under the Maternity Protection Act, as it does not apply to them. However, they can voluntarily secure their income during the maternity leave periods before and after childbirth through their statutory (GKV) or private health insurance (PKV). Currently, only about half of self-employed women of childbearing age opt for such coverage. "Self-employed women who have chosen the optional sickness benefit or a special sickness insurance tariff through statutory health insurance receive sickness benefits amounting to 70 % of their net income during the statutory protection periods before and after childbirth. On the other hand, self-employed women with private health insurance who have taken out daily sickness allowance insurance are entitled to compensation for lost earnings equal to the daily sickness allowance agreed upon with the health insurer, which applies during the statutory protection periods as well as on the day of delivery," reports Dr. Rosemarie Kay.
Pay-as-you-go financed maternity benefits as an alternative?
According to information from the GKV-Spitzenverband and the Association of Private Health Insurers (PKV), health insurance funds paid € 30 million in maternity benefits to self-employed women in 2022. Instead of this voluntary individual insurance solution, a pay-as-you-go financed model is being discussed as an alternative. In this model, similar to how employers cover maternity benefits for their employees, all self-employed individuals would collectively finance maternity benefits for self-employed mothers. According to calculations by the IfM, each of the current 3.6 million self-employed individuals would be required to contribute a maximum of € 5.30 per month. If the levy were based on the level of income from profits, the contribution rate would be 0.13 %. This would be sufficient to replace the gross earnings of (expectant) self-employed mothers during the maternity protection periods.
"A pay-as-you-go financing of income loss during maternity protection periods represents a solidaristic solution that does not overburden anyone and, above all, does not distort the competition between self-employed women and men. However, it should not be overlooked that many self-employed women will still find it difficult to pause their activities around the time of childbirth. Operating costs continue to accrue, and customers could be lost," says the Deputy Managing Director of IfM Bonn.
Publication "Maternity Benefits for Self-Employed Women"
Policy Brief "Pay-as-you-go maternity benefits for self-employed women?"
