# Insurance for towing, breakdown and recovery services in Germany

> A towing service works where nobody else is allowed to stop: on the hard shoulder, at night, in the rain, with someone else's car on the hook. Recovery and breakdown work is dangerous for your crew and expensive when a customer's vehicle slides off the flatbed. This page explains, under German law, which insurance is compulsory, where standard liability cover has a gap and roughly what a towing business pays a year.

Quelle/Source: https://www.nammert.com/en/business-insurance-towing-and-breakdown-service.php  
Updated: 2026-10-14

## Who pays if a customer's car slides off my flatbed?

Not automatically your business liability policy: damage to property in your care or being worked on is usually excluded. You need an extension for care, custody and control, or separate cover for vehicles you carry and store. Your motor liability pays third parties, not the load on your own truck. This gap is the first thing we check.

## At a glance

- **Compulsory:** Motor liability for every tow and recovery vehicle, with statutory minimums of €7.5 million for injury, €1.3 million for property damage and €50,000 for financial loss
- **Road haulage law:** Carrying damaged or broken down vehicles for road safety reasons or to return them is exempt under § 2(1) no. 3 of the Road Haulage Act (GüKG); commercially transporting intact vehicles may require goods in transit liability under § 7a GüKG, at least €600,000 per event
- **Biggest risk:** Accidents at roadside jobs in moving traffic and damage to customer vehicles while loading, carrying and storing them
- **Basic cover from:** about €1,500 a year of motor liability for a tow truck with a good claims record, a guide price from our quoting practice
- **Often forgotten:** Damage to vehicles in your care is excluded from standard business liability and must be added explicitly

## What goes wrong in this trade

- **Motorway call outs:** Lorries pass the hard shoulder at 80 km/h. Rear end collisions at roadside jobs injure drivers and damage vehicles.
- **Damage while loading:** A strap snaps, a winch pulls crooked, the ramp is too steep: the towed vehicle is damaged on the way up or on the road.
- **Storage yard:** Impounded and towed vehicles stay with you. Theft, vandalism, hail and fire hit other people's property.
- **Burning EVs:** A crashed electric car can catch fire days later in your yard and take neighbouring vehicles with it.
- **Truck off the road:** If your only recovery truck is out of action, jobs from contracts go to the next firm on the list.
- **Disputes over fees:** Owners dispute towing and storage fees, and garages and clients pay late.

**Risk radar** (Compared with other trades, 1 low to 5 high.): Liability 5, Fire and water 4, Theft 3, Cyber 2, Downtime 4, Health 5

## The insurance you need

- **Car insurance** (Essential): Required by law for tow trucks, flatbeds and service vans; choose a high combined limit. https://www.nammert.com/en/insurance-broker-car-insurance.php
- **Business liability** (Essential): Covers damage during roadside assistance and on your premises; add damage to customer vehicles in your care. https://www.nammert.com/en/insurance-broker-business-liability.php
- **Cargo insurance** (Strongly advised): Covers the vehicles you carry even when you are not at fault, for instance after an accident of the tow truck. https://www.nammert.com/en/insurance-broker-cargo-insurance.php
- **Fleet insurance** (Strongly advised): From three vehicles, a fleet policy bundles liability and comprehensive cover, including costly recovery equipment. https://www.nammert.com/en/insurance-broker-fleet-insurance.php
- **Business contents** (Strongly advised): Workshop, tools, winches and spare parts against fire, burglary and water. https://www.nammert.com/en/insurance-broker-business-contents.php
- **Business legal expenses** (Strongly advised): Legal costs for fee disputes, accidents with unclear fault and employment matters. https://www.nammert.com/en/insurance-broker-business-legal-expenses.php
- **Group accident insurance** (Depends on the business): Adds to the Berufsgenossenschaft (statutory accident insurer) for drivers working at dangerous sites. https://www.nammert.com/en/insurance-broker-group-accident.php
- **Occupational disability** (Depends on the business): For owners who go out on jobs themselves and do physical work. https://www.nammert.com/en/insurance-broker-occupational-disability.php

## What it costs: example prices

Tow trucks sit in their own tariff groups. The premium depends on weight, area, claims history and whether you do motorway and police work.

| Insurance | Example | Typical range |
| --- | --- | --- |
| Car insurance | Tow truck up to 7.5 tonnes, liability only, good claims history | about €1,500 to €3,500 a year |
| Car insurance | Recovery vehicle over 7.5 tonnes with comprehensive cover | about €5,000 to €12,000 a year |
| Business liability | Towing firm with five staff, damage in care up to €100,000 included | about €800 to €2,500 a year |
| Cargo insurance | Cover for carried customer vehicles up to €80,000 each | about €600 to €2,000 a year |

For comparison: A year of business liability including damage in your care costs about as much as two or three motorway tows.

_Guide prices from our quoting practice, as of October 2026, excluding insurance tax. Published tariffs for towing firms hardly exist; vehicles, type of work and claims history move the premium a lot._

- [German federal law portal: Compulsory Insurance Act, minimum sums](https://www.gesetze-im-internet.de/pflvg/anlage.html)
- [German federal law portal: § 2 GüKG, exemptions](https://www.gesetze-im-internet.de/g_kg_1998/__2.html)
- [German federal law portal: § 7a GüKG, liability insurance](https://www.gesetze-im-internet.de/g_kg_1998/__7a.html)

## Our suggestions: three packages

- **One truck** (Owner driver with a single tow truck): Car insurance, Business liability, Occupational disability. Together: about €2,500 to €6,000 a year, excluding income protection
- **Yard and workshop** (Three to six vehicles, storage yard and workshop): Fleet insurance, Business liability, Cargo insurance, Business contents, Business legal expenses. Together: about €10,000 to €30,000 a year
- **Heavy recovery** (Recovery firm with heavy vehicles, motorway and police work): Fleet insurance, Business liability, Cargo insurance, Business contents, Business legal expenses, Group accident insurance. Together: individual, usually from about €30,000 a year

## The worst day at a towing firm

Six things that really happen to towing services, here all in one Friday night. Click through and see who pays.

- 18:30: A strap snaps while loading and the customer's SUV lands nose first on the flatbed. (€9,000, Paid by: Business liability)
- 20:15: On the way to a job your driver misses a small car at a junction. (€14,000, Paid by: Car insurance)
- 22:40: A lorry clips your recovery truck at a motorway scene. (€35,000, Paid by: Fleet insurance)
- 00:10: A car falls off the flatbed when the tow truck brakes hard. (€18,000, Paid by: Cargo insurance)
- 03:00: A crashed car catches fire in the yard and damages the workshop. (€60,000, Paid by: Business contents)
- 09:00: An owner refuses to pay the towing bill and goes to court. (€2,500, Paid by: Business legal expenses)

**Damage so far:** €138,500

## Practical tips from your broker

- Have damage to customer vehicles in your care explicitly included in business liability, with a limit that matches the cars you move.
- Insure carried vehicles separately if you often load expensive cars; liability only pays when you are at fault.
- Check which limits your framework contracts with police, motoring clubs or insurers require.
- Park crashed electric cars with distance to other vehicles and tell your property insurer about the yard.
- Choose a high combined limit in motor liability; the statutory minimum is not enough for serious injuries.
- Photograph every vehicle before loading; it settles many disputes.

## Why NAMMERT for your business

- **We find the care gap:** The most common gap at towing firms is damage to the customer's car. We check your policies for exactly that.
- **Comparison for special vehicles:** Not every insurer covers tow and recovery trucks. Norman Nammert, as an insurance broker, approaches those that do.
- **Experience with recovery:** From boat insurance we know salvage, transport and claims handling in practice.
- **Brokering since 1989:** A family business, like many towing firms, and we speak English. Our advice costs you nothing; the insurer pays our commission.

## FAQ

### Which insurance is compulsory for a towing service in Germany?

Motor liability for every vehicle, with at least €7.5 million for injury, €1.3 million for property damage and €50,000 for financial loss. Everything else is voluntary but often required in framework contracts.

### Do I need goods in transit liability?

Not for carrying damaged or broken down vehicles for road safety reasons or to return them; § 2(1) no. 3 GüKG exempts this. Commercially transporting intact vehicles can fall under the GüKG, which then requires insurance under § 7a with at least €600,000 per event.

### Is damage to the towed car covered?

Only if you have arranged it. Standard business liability excludes other people's property in your care. You need an extension or transit cover.

### What does insurance for a tow truck cost?

Motor liability for a truck up to 7.5 tonnes is typically about €1,500 to €3,500 a year, much more with comprehensive cover or for heavy recovery vehicles. These are guide prices from our quoting practice.

### What about vehicles in my storage yard?

For fire, theft and vandalism to other people's cars you need a care extension or suitable property cover. Declare the yard and the usual number of vehicles.

### Are my drivers covered for accidents at work?

Employees are covered by the Berufsgenossenschaft. Whether you as owner are included depends on its statutes; otherwise voluntary cover there or private accident insurance makes sense.

## Request quotes

We obtain quotes and come back with a comparison, free of charge. You can write in English. https://www.nammert.com/en/business-insurance-towing-and-breakdown-service.php#anfrage

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Your broker: Norman Nammert, trading as NAMMERT. Insurance broker licensed under section 34d(1) of the German Trade Regulation Act. Broker register no. D-C08Q-TOSD4-37. NAMMERT Assekuradeur GmbH is a separate company. It does not arrange your contract.

NAMMERT Assekuradeur GmbH, Karl-Marx-Straße 4, 15711 Königs Wusterhausen, +49 3375 29 12 77, info@nammert.com. Wikidata: Q141141479.