What does the 1914 value mean in German buildings insurance?

Published factors for 2026 and what follows from them.

Before the First World War, building prices in Germany were stable for a long time. Inflation, currency reforms and the switch to the euro followed. So that sums insured do not have to be renegotiated all the time, insurers use a value in 1914 marks as a fixed base.

Your policy therefore does not state a euro amount that goes out of date after a few years. It states a 1914 value, and an index translates it into current building prices every year.

The building price index for residential buildings, rebased to 1914 = 100, turns the 1914 value into today's sum insured in euros. In 2026 it stands at 2,263.6.

The premium adjustment factor sets your premium. It is made up mostly of the building price index and partly of construction wages. When it rises, your premium rises without any change to your cover.

For one and two-family houses, insurers use a valuation form (Wertermittlungsbogen). You enter living space, type of construction, roof, basement, garage and fittings such as underfloor heating or parquet. The result is an amount in marks per square metre, multiplied by the area.

For apartment buildings, the calculation is often based on enclosed volume. For very high-end, listed or unusual houses, an expert valuation is more reliable than the form.

Elsewhere you often state a rebuild figure in your own currency. In Germany the 1914 value or a tariff by living space takes its place, and both usually come with a waiver of underinsurance if your details are correct.

When you buy a house, the seller's policy passes to you along with its 1914 value. Ask for the policy schedule before completion and check the value with the formula above. A figure far below today's building costs is a warning sign.

Many newer tariffs no longer use the 1914 value but living space. If the space is stated correctly, the insurer waives the deduction for underinsurance. The 1914 value is then only an internal figure.

You should check it on older policies, after taking over a policy when buying a house, and after an extension, loft conversion or high-end renovation. A value that is too low stays too low, however much the index rises.