Early Retirees to Get Health Cover

France is to relax its rules on the admission of expat early retirees into the French health system.
The
change of policy has come about after pressure from the European
Commission, who consider France is in breach of EU regulations by
requiring early retirees to have five years residence before they can
obtain health cover.As a result the French Ministry of Health is to issue new guidance on the right of access to the health system.
Cristina Arigho, the EU Spokesperson for Employment, Social Affairs and Inclusion, told us that 'we expect a circular to be issued by the French government before the summer break.’
The
aim of the new circular will be to bring France into line with European
Regulation 883/2004, which governs the coordination of health and
social security systems throughout the EC.
She stated that once the circular was issued ‘the Commission would then close the infringement.’
‘However’, she continued, ‘we will monitor closely the application of the new circular.’
 Last June we reported that
the EU Commission considered France may be in breach of the regulations
by denying inactive early retirees’ access to the health system through
the CMU until they had completed five years residence.
At
the time Cristina Arigho told us that the European Commission was in
discussion with the French authorities to clarify the 2007 decree
concerning the Couverture Maladie Universelle and was analysing its compatibility with European law.
She stated that ‘the
Commission is working on a solution that would allow UK pre-retired
person’s access to health coverage. This involves close cooperation with
the French authorities to examine the French rules in place and seeing
whether they are in line with Community legislation.'
The November 2007 decree denied economically inactive expat early retirees access to the French health system through the couverture maladie universalle(CMU).
As
a result, since this date anyone relocating to France under the age of
retirement has been obliged to take out private health insurance on the
expiry of their E106 (now S1) cover, or take employment/self-employment
in order to then obtain health insurance cover.
Only when
inactive early retirees have completed 5 years legal residence are they
permitted to affiliate to the health system, although there are some
limited exceptions for 'accidents de vie'.
Affiliation to the CMU costs 8% of your net income above a minimum threshold, but is available free of charge to those on a low income.
Until
details of the new circular are published it remains unclear on what
payment basis early retirees will be granted health cover, just what
other terms may be imposed, and whether those on a low income will be
entitled to free health cover. It was the abuse by some expats of the
free cover concession that led to the clampdown in 2007.
The French Ministry of Health have confirmed in writing that a new government circular will indeed be issued this summer.