Which insurance do I need after buying a house in Germany?
In short
Which insurance do I need after buying a house in Germany? Above all buildings insurance with natural hazard cover, about EUR 400 to 600 a year. The seller's policy passes to you with the land register entry, and you may cancel it within one month. Add updated contents cover, personal liability for the house and term life insurance for the mortgage, often EUR 8 to 20 a month.
Published premiums for the policies due after buying a house in Germany.
Example
Typical range
Buildings insurance, typical detached house with good cover
about EUR 400 to 600 a year
Natural hazards cover in a safe location
about EUR 50 to 200 a year
Term life EUR 200,000 decreasing, 20 years, age 35, non-smoker
about EUR 8 to 20 a month
Water damage liability, above-ground tank of 3,000 litres
about EUR 20 to over 90 a year
Contents, sum insured by rule of thumb
EUR 650 per square metre of living space
Figures from published tariff examples, as of October 2026.
Your premium depends on location, year of construction and cover; we obtain the exact quote.
Worked example
Couple buys a detached house, mortgage EUR 200,000, safe location
This is the cover in the first year after buying a house when both partners are protected.
Buildings with good cover
about EUR 400 to 600
Natural hazards add-on
about EUR 50 to 200
Term life EUR 200,000 decreasing per partner, two policies
about EUR 192 to 480
Personal liability for the house you live in
no extra charge in your existing policy
About EUR 642 to 1,280 a year in total, plus contents insurance with the new living space.
The checklist after buying a house
After buying a house in Germany four things change: you carry the risk for the building, you are liable as owner of the plot, your contents move, and the mortgage must be protected if you die. There is a matching policy for each.
This page puts the steps in order. Details on how the buildings policy passes to you, on liability for homeowners and on protecting a mortgage are on the linked pages.
Insurance
After buying
Buildings (Wohngebäude)
passes to you, check it and cancel within one month if needed
Natural hazards (Elementar)
often missing in old policies, add it
Contents (Hausrat)
report new address and living space
Personal liability
usually covers a house you live in
Water damage liability
needed for a heating oil tank
Term life
take out for the loan amount
The seller's buildings insurance
Once you are entered in the land register, you step into the existing buildings insurance under section 95 of the Insurance Contract Act (VVG). Until then the seller is the policyholder; you are both liable for the premium of the current period. The sale must be reported to the insurer.
Section 96 VVG lets you cancel the policy you took over within one month of the purchase, with immediate effect or at the end of the period. Only cancel once the new policy is in place, or the house is unprotected. The bank almost always wants proof of cover.
Do not forget natural hazard cover
Many older buildings policies only cover fire, tap water, storm and hail. Flooding after heavy rain, backflow and landslides are only covered with the natural hazards add-on (Elementarschadenversicherung). In a safe location it costs about EUR 50 to 200 a year.
There is no legal duty to buy natural hazard cover in Germany so far. After buying a house, still check the hazard class of your address; heavy rain causes damage far from rivers too.
Liability as a homeowner
If you live in your own detached house, personal liability insurance usually protects you as owner, for example if a roof tile falls or the pavement is not cleared of snow. You need separate property owner liability (Haus- und Grundbesitzerhaftpflicht) for rented-out houses, apartment buildings and undeveloped land.
A heating oil tank almost always needs its own water damage liability policy (Gewässerschadenhaftpflicht), about EUR 20 to over 90 a year for an above-ground tank of 3,000 litres. Also tell your liability insurer about solar panels on the roof.
Protecting the mortgage after buying
If one partner dies, the other has to carry the loan alone. Your own term life policy with a decreasing sum costs a 35-year-old often EUR 8 to 20 a month for EUR 200,000 over 20 years. Unmarried couples are better off insuring each other crosswise.
The bank's credit life insurance (Restschuldversicherung) is usually much more expensive and pays less, as studies by the consumer advice centres and BaFin show. Cover against unemployment is often bundled in, but pays only for a limited time.
How a broker helps after buying a house
Norman Nammert works as an insurance broker (Versicherungsmakler) and checks after the purchase whether the buildings policy you took over is enough or a new one is better. The insurer pays the commission, so the check is free for you as a buyer.
Step by step
Ask the seller for the current buildings policy before the notary appointment.
Check the scope, especially natural hazards, gross negligence and the sum insured.
Take out the new policy first, then cancel the old one within one month.
Report the new address and living space to your contents insurer.
Tell your liability insurer about an oil tank, solar panels or letting.
Take out term life for the loan amount instead of the bank's credit life insurance.
Checklist
Buildings cover runs without a gap from the land register entry
Natural hazards included
Proof of cover ready for the bank
Contents adjusted to the new living space
Liability covers house and plot
Mortgage protected by term life cover
Common mistakes
Cancelling the seller's policy before the new one is in place
Missing the one-month deadline for cancelling
Leaving out natural hazard cover because there is no river nearby
Signing the bank's credit life insurance without checking
Questions and answers
Frequently asked
Do I have to take over the seller's buildings insurance?
It passes to you by law.
You may cancel it within one month of the purchase, immediately or at the end of the period.
From when is the house insured in my name?
The policy passes to you with the land register entry.
Agree with the seller that there is no day without cover until then.
Do I need property owner liability after buying a house?
Usually not for a detached house you live in, personal liability covers that.
You do for letting or an apartment building.
Is buildings insurance compulsory in Germany?
Not by law, but the bank almost always requires it if you buy with a mortgage.
Must I take the bank's credit life insurance?
As a rule, no.
Your own term life policy is usually cheaper and can be matched to the loan amount.
