The following extract from the Journal of Population and Social Security explains Germany’s long-term care insurance act of 1995.
The new social long-term care insurance scheme (Pflegeversicherung) came into force at three different stages: from January 1, 1995 on compulsorily insured persons were liable to pay contributions, whereas benefits for domiciliary care were granted from April 1, 1995 on and benefits for residential care only from July 1, 1996. Besides, the law gives those who are entitled to benefits the right of substituting services in kind, i.e. professional services by cash benefits, i.e. it makes it possible for persons who are entitled to benefit to replace benefits in kind for the services of professional carers by cash benefits in cases when non-professional family members provide the care.