# Personal liability insurance in Germany: the policy Germans ask about first

> In Germany, anyone who negligently causes damage to someone else pays for it in full, with no upper limit. Private liability insurance (Privathaftpflicht) pays justified claims and fights unjustified ones. It is not compulsory, but it is so common that many Germans are surprised when a newcomer does not have it.

Quelle/Source: https://www.nammert.com/en/insurance-broker-personal-liability.php  
Updated: 2026-09-18

## Do I really need personal liability insurance in Germany?

Yes, for almost everyone it is the first policy to take out after health insurance. German civil law makes you liable for the full amount of any damage you cause negligently, including lifelong costs if you injure someone. A good policy costs roughly 45 to 100 euros a year for a single person. Unlike in the UK, it is not part of your contents insurance, so you need a separate contract.

## At a glance

- **Compulsory?:** No, voluntary, but widely expected
- **Typical premium:** 45 to 130 € a year, depending on household
- **Cover amount:** at least 10 million €, good policies 50 million €
- **Who is covered:** you, your partner and children, depending on the policy
- **Cancellation:** yearly with three months' notice, or after a claim

## Why Germans treat it as a basic

Section 823 of the German Civil Code (BGB) obliges anyone who negligently injures another person or damages their property to compensate them fully. There is no cap. If you knock over a cyclist while crossing the road and they cannot work again, you may owe loss of earnings and care costs for decades. That is why consumer advisers in Germany list this policy right after health insurance.

Many newcomers assume their home country cover travels with them. A liability section in a British home insurance policy or an American renters policy normally only applies while you live in that country. Once you register an address in Germany (Anmeldung), you need a German policy.

## What it means for renting a flat

Landlords and letting agents in Germany sometimes ask whether you have Privathaftpflicht. It is not a legal requirement for renting, but damage to a rented flat is one of the most common claims: a cracked washbasin, a burnt worktop, a water leak into the flat below. Good policies include this rental damage (Mietsachschäden); normal wear and tear is never covered.

The second classic is lost keys. Many German apartment buildings use a central locking system. If you lose a key, the landlord may be entitled to replace the whole system, which can cost several thousand euros. Check that loss of keys is included and how high the limit is.

## Children, dogs and small boats

Under German law, children under seven are not liable for damage they cause, and in road traffic not before their tenth birthday (Section 828 BGB). If your toddler scratches a neighbour's car, nobody has to pay unless your policy voluntarily covers children below that age. Most good policies do, up to a stated limit.

Dogs and horses are excluded and need separate pet liability insurance, which is compulsory for dogs in several German states. Cats are normally included. Rowing boats and small sailing dinghies are often covered, motorboats only up to a low engine power. For larger boats you need boat liability insurance, which we offer ourselves as an underwriting agency rather than as a broker.

## What is covered

- Bodily injury, property damage and resulting financial loss caused to third parties
- Defence against unjustified claims, including court costs
- Damage to rented living space
- Loss of other people's keys, including your landlord's and often your employer's
- Damage caused by children too young to be liable, if included
- Damage while helping a friend for free, such as during a move, if included
- Default cover: your own loss if someone who damages your property cannot pay
- Temporary stays abroad, often for one year or longer depending on the policy

## What is not covered

- Damage caused intentionally
- Damage to your own belongings or between people insured under the same policy
- Anything related to your job or a business
- Dogs, horses and larger animals
- Cars, motorbikes and e-scooters that need an insurance plate
- Larger motorboats and sailing yachts
- Contractual promises beyond what the law requires

## Who needs it

- Anyone who has registered an address in Germany
- Tenants, because damage to a rented flat and lost keys are frequent claims
- Families with young children
- Cyclists and anyone who moves around the city a lot

## Who can do without

- Students who are still covered under their parents' German family policy
- Anyone already named on their spouse's or registered partner's policy

## What it costs

Personal liability insurance is one of the cheapest policies in Germany. The difference between a basic and a good policy is often only twenty to forty euros a year, while the difference in what is covered is large.

| Example | Typical range |
| --- | --- |
| Single, aged 30, no previous claims | about 45 to 100 € a year |
| Couple without children | about 55 to 115 € a year |
| Family with two children | about 60 to 130 € a year |

**What drives the premium:**

- Household: single, couple or family
- Cover amount and deductible
- Add-ons such as lost keys, default cover or drones
- Occupation, for example discounts for public-sector employees
- Contract length and payment frequency

_Guide figures from published German market comparisons, 2026. Your premium is fixed only in the quote._

## The policy levels on the market

- **Basic:** Cover of 5 to 10 million €, limited rental damage, few add-ons. Meets the legal liability but leaves typical everyday gaps open.
- **Standard:** Around 20 to 50 million €, including children below the age of liability, lost keys, default cover and damage while helping friends. The right level for most households.
- **Premium:** 50 million € or more, guarantees to match consumer-association minimum standards, cover for borrowed items and higher limits for drones and boats. Worth it for frequent travellers and families.

## How to recognise a good policy

| Criterion | Minimum standard | Strong policy | Why it matters |
| --- | --- | --- | --- |
| Cover amount | 10 million € combined | 50 million € for injury and property | Serious personal injury claims with lifelong payments can exceed five million euros. |
| Young children | up to 10,000 € | up to the full cover amount | Without it, damage caused by a child under seven is paid by nobody. |
| Lost keys | private keys | private and work keys, including central locking systems | Replacing a building's locking system can cost thousands. |
| Rental damage | damage to rented rooms | also furniture in holiday lets and hotel rooms | On holiday you rent more than just walls and floors. |
| Default cover | only from 2,500 € loss | no minimum loss | It pays your own loss when the person who caused it has no insurance and no money. |
| Borrowed items | excluded | included up to at least 10,000 € | A borrowed camera or tool is one of the most frequent disputes. |
| Stays abroad | short trips | several years abroad | Useful if you commute between countries or take a posting elsewhere. |

## Insurers on the German market

Almost every German property insurer sells personal liability cover. Differences between product lines of the same company are often larger than between companies. Some insurers only sell directly and do not work with brokers; we list them so you know the market.

- **Allianz**: several product lines, sold through tied agents and brokers
- **HUK-COBURG**: mutual group, sells through its own offices, does not work with brokers
- **AXA**: part of the French AXA group, agents and brokers
- **ERGO**: part of Munich Re, agents, brokers and direct sales
- **Haftpflichtkasse**: mutual insurer specialised in liability, sells through brokers
- **VHV**: broker-focused insurer with a strong liability line
- **Gothaer**: mutual group, agents and brokers
- **R+V**: insurer of the German cooperative banks
- **WGV**: low-cost insurer from Stuttgart, mainly direct sales
- **Die Bayerische**: brokers and direct sales

127 insurers supervised by BaFin, the German regulator, are licensed for this class of insurance. (Allgemeine Haftpflicht). Source: BaFin company database, retrieved 2026-09-18. Insurers from other EU countries selling through a branch or without a German office are not included.

## Typical claims and who pays

- **Washing machine floods flat below** (around 3,000 to 20,000 € for ceiling, floor and furniture): Every German liability policy pays for your neighbour's damage. Your own floor is a matter for contents or building insurance.
- **Lost the key to your rented flat** (a few hundred €, over 5,000 € if the whole lock system goes): Many German buildings use a master key system, and one lost key can mean new locks for every door. Basic policies often exclude or cap this, strong ones pay.
- **Your child's scooter scratches a Porsche** (around 1,500 to 4,000 €): Under-sevens are not liable in Germany, so a basic policy has nothing to pay. Strong policies settle anyway, up to an agreed limit.
- **Cyclist knocks down a pedestrian** (six figures, with lasting injury into the millions): Injury claims include lost earnings and care costs for years. This is why German advisers recommend high limits.
- **Your drone lands on a parked car** (around 500 to 3,000 €): Drone liability insurance is compulsory in Germany. Many basic policies exclude drones, stronger ones include private drones up to a weight limit.
- **You drop your own phone** (a few hundred €): Liability insurance only pays for damage to other people. Your own belongings need contents or gadget cover.

## Myth or truth

- „In Germany, parents are always liable for whatever their children break." ✘ False: parents only pay if they failed in their duty of supervision. Children under seven are not liable themselves, so the injured party may get nothing. Good policies pay voluntarily in these cases.
- „Your German personal liability policy usually protects you on holiday abroad too." ✔ True: most policies cover temporary stays worldwide, often for a year or longer. Check the scope before a long posting abroad. Once you move away for good, the policy is no longer the right fit.
- „If I break my partner's laptop, our joint liability policy will pay." ✘ False: claims between people insured under the same policy are excluded. Spouses, partners and children living with you cannot claim against each other. Accidental damage to their things needs contents or device cover.
- „Helping a friend move and dropping their TV may not be covered, even if it was your fault." ✔ True: German courts often assume that unpaid helpers are not liable for slight negligence. Without liability there is no claim to pay. Only policies that include favour damage (Gefälligkeitsschäden) pay anyway.
- „An e-scooter is covered by personal liability insurance in Germany." ✘ False: e-scooters need their own motor insurance with a small plate on the back. Personal liability policies exclude them. Riding without the plate is an offence.

## Common mistakes

- Assuming the liability cover from your home country still applies after moving to Germany
- Choosing the cheapest policy and missing cover for young children
- Forgetting that dogs need their own liability policy
- Keeping two single policies after moving in together
- Not checking the limit for lost keys in a building with central locking

## FAQ

### Is personal liability insurance compulsory in Germany?

No. It is voluntary, but most households have it because liability under German law is unlimited. Compulsory liability insurance exists only for specific risks such as cars, dogs in several states and drones.

### Does my landlord require it?

There is no legal obligation, but some landlords ask for it before signing. Even without that, damage to the flat and lost keys are among the most common claims tenants face, so it is worth having.

### Does my UK or US policy cover me in Germany?

Usually not once you live here. Home insurance abroad normally covers liability only for residents of that country, and often only for short trips outside it. Once you are registered in Germany, take out a German policy.

### Can I get a policy with English documents?

Some insurers provide English information or service, but the binding conditions are generally in German. We can explain the key clauses in English before you sign.

### Does it pay the price of a new item?

No, it pays the current value, not the replacement price. That follows from German damages law and applies to every insurer. A three-year-old phone is worth less than a new one.

### Does it cover damage my child causes?

Only if the child is liable or the policy includes children under the age of liability. Children under seven are not liable at all, and in traffic not before ten. Good policies pay anyway, up to a stated limit.

### What happens when I leave Germany?

Tell your insurer. Many policies cover stays abroad for a limited time, and some continue for longer postings. If you move away permanently, the contract can usually be ended, but check the clause first so you are not left without cover during the move.

### Is my dog covered?

No. Dogs and horses need separate pet liability insurance. It is compulsory for all dogs in several German states, including Berlin, Hamburg and Lower Saxony. Cats and small pets are usually included in personal liability cover.

### How do I cancel?

Normally at the end of the insurance year with three months' written notice. After a claim, both sides may cancel at short notice. A switch is simple, because personal liability has no waiting periods or health questions.

### Why use a broker for such a cheap policy?

A broker compares policies on your behalf and supports you if there is a claim. The premium is the same as buying direct, because the insurer pays the broker. For newcomers the main benefit is someone who explains German clauses in plain English.

## Legal basis and sources

- [Civil Code (BGB, German)](https://www.gesetze-im-internet.de/bgb/)
- [Insurance Contract Act (VVG, German)](https://www.gesetze-im-internet.de/vvg_2008/)
- [BaFin company database (licensed insurers)](https://portal.mvp.bafin.de/database/InstInfo/)

## Request quotes

We obtain quotes and come back with a comparison. Free of charge and without obligation: the insurer pays our commission. You can write in English. https://www.nammert.com/en/insurance-broker-personal-liability.php#anfrage

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NAMMERT Assekuradeur GmbH, insurance broker licensed under section 34d(1) of the German Trade Regulation Act, broker register no. D-C08Q-TOSD4-37. For boat and yacht insurance we act as underwriting agency, not as broker.

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