The mutual fund for civil servants Muface has been ordered to pay 19.4 million euros to DKV due to the overcost of the health agreement. This decision arises from a mandatory extension imposed by the Government in 2025.
The Muface mutual fund must pay 19.4 million euros to the insurer DKV due to the overcost resulting from the mandatory extension of the health agreement for civil servants, according to the ruling from the Central Court of Administrative Litigation number 10 in Madrid.
This ruling comes after an appeal filed by DKV, which is part of the German reinsurer Munich Re. The court decision also allows for the ruling to be appealed to the National Court.
The court ruled that the services provided by DKV cannot be compensated at a rate lower than the direct and indirect costs of the service, as well as overheads and industrial profit. This contrasts with the position of the State Attorney's Office, which argued that the price during the extension months was what had been agreed upon in the agreement with SegurCaixa Adeslas and Asisa.
DKV had also requested the annulment of the extension of the agreement, decreed on December 26, 2024, but this request was not accepted by the court. The three insurers were required to maintain health coverage until the signing of the new agreement, which covers the period 2025-2027.
According to DKV, the extension was illegal and there were alternatives to ensure the continuity of the service without forcing the company to remain in the agreement. The mutual fund defended that the decision was based on reasons of public interest, and the need to ensure healthcare provision for the mutualists.
The insurer also has another appeal against Muface for losses in the previous agreement, claiming 80 million euros plus late interest.
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