Germany’s health system, rooted in the Bismarckian model, is primarily financed through social contributions split between employees and employers, with sickness funds managing statutory health and long-term care insurance for about 74 million residents. The system features a broad network of public, private, and nonprofit providers with sickness funds as dominant payers, and relatively low expenditure on hospitals despite a high hospital bed density. Government funding covers less than 20% of healthcare costs, with ongoing reforms targeting more efficient resource allocation amid changing health needs and disease patterns.