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Germany, the land of poets and thinkers… and insurance!

Germany takes insurance seriously. Some types of insurance policies, such as health insurance or car insurance (for vehicle owners), are mandatory here. Well, there’s nothing wrong with being safe rather than sorry! So, kudos!

Scroll through all the different types of insurance you can find in Germany:

Health Insurance (Krankenversicherung)

Health insurance in Germany is required by law. All legal residents in Germany must be insured in the healthcare system in Germany. A health insurance policy in Germany covers visits to the doctor, outpatient appointments, surgery, in-hospital treatments, basic dental care, etc. The exact level of coverage will depend on the policy.

There are two types of health insurance in Germany, public (statutory) health insurance and private health insurance. Although both types of insurance provide sufficient coverage, private health insurance policies will usually provide access to more covered services, such as advanced dental treatment.

Of course, other differences exist, such as their cost and eligibility criteria. You can read more about health insurance in Germany in our German health insurance guide.

Travel Insurance (Reiseversicherung)

Travel insurance is useful when traveling outside of your home country. It will provide coverage if you have any health issues abroad and need medical help. Travel insurance is important when traveling abroad because you never know when you may need medical assistance.

This type of insurance will make sure you will receive the treatment you need without having to worry about medical bills abroad. Travel insurance policies usually also cover flight cancellations and lost luggage.

As an important note, travel insurance is also a requirement when applying for a German visa for international students or workers. So, if you belong to this category, you will need travel insurance that meets the visa requirements (in terms of coverage). Provisit by DR-WALTER can help you with this type of insurance, so you will not have to worry about visa approval.

Third-Party Liability Insurance (Haftpflichtversicherung)

Liability insurance, or Haftpflichtversicherung in German, protects you from the cost of damages you (the holder) may have unintentionally caused to people or objects. Germany holds people accountable for the damages they cause. Liability insurance helps with the cost of damages, which is why it is a popular type of insurance in Germany.

To give a little context, liability insurance is popular among all individuals, including students who rent apartments and are concerned about damaging their landlord’s property.

Possible scenarios when liability insurance is useful include:

• If you accidentally damage someone’s belongings, like their phone or their car.
• If someone accidentally gets hurt in front of your home due to unshoveled snow.
• You damage something, like the floor, in the apartment you are renting.

Average cost: €80–€100/²â±ð²¹°ù

Professional Liability Insurance (Berufs­haft­pflicht­ver­si­che­rung)

Professional liability insurance will cover you in professional settings if you are self-employed. It is common among professionals like doctors, architects, engineers, or lawyers. It will basically cover any liability related to your job/occupation. For example, if your client sues you for causing any damage to them.

Remember: You will need this insurance if you are self-employed or a freelancer. If you are an employee, you will not need this type of insurance since you will be covered by your employer.

Dog Liability Insurance (Hundehaftpflichtversicherung)

Dog liability insurance (Hundehaftpflichtversicherung) covers you for the damages your dog/pet might cause. This could be if your dog causes material damage to someone else’s property or if the dog bites someone else. The insurance will cover the cost of expenses in such cases.

While some states only require this type of insurance for dangerous dog breeds, in some German states, such as Berlin, Hamburg, Niedersachsen, Sachsen-Anhalt, Schleswig-Holstein, and Thüringen this insurance is mandatory by law.

Even if this insurance is not legally required in your state, you should purchase it either way as a dog owner. It can cost less than €5 per month.

Household Contents Insurance (Hausratversicherung)

Household contents insurance (Hausratversicherung) will cover holders in case of damage to household contents in the unfortunate event of flooding, fire, storms, theft, or vandalism. Although this type of insurance is not compulsory, it is often a requirement in, let’s say, rental contracts. If your household has valuable belongings, you will want to protect them and avoid the costs that may come with such unfortunate events.

Home contents insurance is only valid for movable objects within your household, such as jewelry, electronics, clothing, furniture, etc. The average cost for such an insurance policy can be around €20–€25 a year for a basic policy. For around €60/year, you can get home contents insurance of up to €200,000, depending on the insurance company.

Homeowners Insurance (Wohngebaudeversicherung)

This type of insurance is essential if you own property in the country, a house, or an apartment. It will cover the building’s floors, walls, roof, and basement against damage caused by fire, storms, water, or vandalism. Some insurance policies also cover windows, garages, sheds, or other built-in items.

Although this is not mandatory insurance, homeowners in Germany usually purchase it for peace of mind. If you rent property, your landlord is responsible for this type of insurance.

The cost will vary depending on the property’s age, size, and condition. Basic premiums for smaller properties start at €120-150 per year. You can expect to pay more if you have a larger property.

Life Insurance (Risikolebensversicherung)

Life insurance, also known as Risikolebensversicherung in German, provides protection to your immediate family in the event of your death. It covers financial responsibilities that used to be handled by your income, such as mortgages or bank loans. It will also take care of people who are financially dependent on you. Many people start thinking about this type of insurance when they become parents or if they already have someone who is financially dependent on them.

The cost of this insurance depends on factors such as age, medical status, the amount you are insuring, length of the contract, etc. You can stay insured until your dependents become financially independent or until you pay off any debt you may have. So there are really a lot of factors to consider, but it is an insurance policy that can be useful in the worst-case scenario.

Private Accident Insurance (Unfallversicherung)

The state covers accidents that may happen at school, place of work, or any vocational training. It does not cover accidents that may happen outside of work during free-time activities.

People take out this type of insurance to cover accidents that might happen outside of working hours. Private accident insurance will cover the costs caused by the accident, such as repairing vehicles or long-term physical or mental impairments. Meaning it will fund long-term medical costs that are not covered by health insurance policies.

Regarding costs and coverage, you can talk to your insurance company about what benefits will be covered and the insured amount.

Occupational Disability Insurance

Occupational disability insurance provides coverage if you can no longer practice your profession due to an accident. This insurance can prove useful if the doctor decides you cannot work due to illness, injury, accident, or other conditions. If your family depends on your income and you become unable to work, occupational disability insurance will allow for compensation, meaning you will receive a predetermined amount as a monthly pension.

The cost of the insurance will depend on your age, pre-existing conditions, your job, and how much you want your monthly pension to be.

Car Insurance (Kfz Versicherung)

Car insurance is mandatory for all vehicle owners in Germany. You can’t register your vehicle if you do not have car insurance.

Germany has three types of car insurance with different levels of coverage: Liability Insurance (Haftpflicht), Partial Insurance (Teilkasko), and Comprehensive Insurance (Vollkasko).

Here’s what each type of car insurance means in terms of coverage:

• Liability Insurance (Haftpflicht). This insurance is the minimum requirement for drivers in Germany. It will cover damages you have done to other vehicles in case of an accident, including medical costs, but it will not cover the damage you may have done to your own car.
• Partial Insurance (Teilkasko). This is a combination of liability insurance with additional coverage against damage to your own car, such as theft, fire, and storm damage. This insurance will not cover vandalism or damage to your own car in an accident.
• Comprehensive Insurance (Vollkasko). This is the most comprehensive car insurance in terms of coverage. It will cover the costs of damage done to other cars, as well as your own, in the event of an accident caused by you. It will also cover cases of vandalism. Due to its coverage, this one is the most expensive type of car insurance.

Repatriation Insurance (Rückführungsversicherung)

Repatriation insurance covers holders in case of death in a foreign country. The insurance will cover the repatriation of the body in case of death. If the worst happens, this insurance can be useful for individuals working or studying abroad, away from their home country.

Usually, travel insurance includes this type of coverage. However, in such cases, it is only valid until your travel insurance expires.

Legal Insurance (Rechtsschutzversicherung)

Legal insurance will cover the cost of legal procedures should you need a lawyer in Germany. There is no doubt that the legal system in Germany is strict and correct. Legal professionals are highly qualified in the services they offer, so even if you need to work with a lawyer on certain issues, you can expect the highest efficiency level.

Since the cost of legal procedures tends to be high, not only in Germany but everywhere, legal insurance is a safe solution that will help you with legal bills.

Depending on your circumstances, you can choose to insure areas such as traffic, work, or home. Legal insurance costs range from €10–€35 per month, depending on the specific policy.

Pet Health Insurance (Tierkrankenversicherung)

Pets also need medical treatment, and these treatments also cost money. So, getting a health insurance policy for your pet can be the wisest thing you can do.

In Germany, pet health insurance usually covers veterinary bills for expensive operations your pet might need. Vaccines, castration, or sterilizations are usually not covered.

You can choose whether you want dog insurance (Hundekrankenversicherung), cat insurance (Katzekrankenversicherung), or general pet insurance.

It will cost around €30–€40 per month, depending on your pet’s age, race, sex, and other significant factors.