What you need to know about insurance in Germany

Insurance is a necessary and often compulsory form of legal cover you will need in the event of an accident, theft, or injury. 

It is often necessary to have insurance to cover your belongings as well as to protect yourself if anything should happen. Germans are big supporters of insurance companies and even insure their pets with PetProtect. If you have recently moved to Germany with your pooch and would like to take out insurance on their health or liability, you can click on the link above to read more reviews on pet insurance companies and how you can benefit from their services. 

Here are the top 8 types of insurance that Germans subscribe to:

1.   Liability Insurance

Liability insurance protects you if you are sued for damages incurred on your property or because of your actions. For example, you hit a pedestrian in your car. Liability insurance will cover you and the pedestrian can claim damages from your insurance company. Liability insurance will also cover the cost of any legal fees or fines you need to pay because of an accident. 83% of Germans have liability insurance. 

2.   Health Insurance

Health insurance is mandatory in Germany. There are two types: public health insurance, which is a percentage of your income, and private health insurance, which allows you to choose your cover and is based on your age and health.

3.   Car Insurance

Car insurance is mandatory in Germany. It is necessary whether you own or rent a car. Car insurance covers your vehicle repair costs in the event of an accident and could include free servicing if you have a maintenance plan.

4.   Household Insurance

This is insurance that will cover your household contents such as clothes, furniture, appliances, in the event of theft or loss. 

5.   Disability Insurance

Only 26% of Germans have disability insurance. This insurance will cover you if you cannot work due to injury or illness, but still have mortgage costs to cover. 

6.   Life Insurance

Life insurance pays out a sum of money to your family upon your death. This money can cover funeral costs and settle any debts that you might have outstanding. How much you pay is based on your lifestyle, health, as well as income. 

The following two insurances popular in Germany are those aimed at four-legged family members.

7.   Pet Liability Insurance

Pet liability insurance is mandatory in cities such as Hamburg and Berlin. It is also required when you have what they consider a “power breed” such as a pit bull or Staffordshire terrier. Pet liability insurance will cover you in the event of your dog causing injury to another dog or person. Liability insurance for pets is not expensive. 

8.   Pet Health Insurance

We all know how expensive vet bills can be and how the costs quickly add up when your pet is ill or injured and needs treatment. Pet health insurance can cover your pet for treatment, expensive operations, and chronic medications for older pets. It does not, however, cover vaccinations and castration procedures.