# Wind turbine insurance in Germany: machine, revenue and liability > For a community wind farm or a farmer, a wind turbine is usually the largest single investment, financed over many years and only paying off while it feeds power into the grid. A gearbox failure or a lightning strike costs the repair and weeks without income. German wind cover therefore combines three parts: the turbine itself, loss of revenue and the operator's liability. Quelle/Source: https://www.nammert.com/en/insurance-broker-wind-turbine-insurance.php Updated: 2026-11-07 ## Is insurance for a wind turbine compulsory in Germany? No German statute requires a specific insurance for wind turbines. Others can still demand it: the lender in the loan agreement and the landowner in the lease. More important than the legal duty is the liability itself, because under section 823 of the German Civil Code (BGB) an operator is liable without any cap for damage caused by ice throw or falling parts. ## At a glance - **Compulsory?:** No, but lenders and landowners can ask for proof - **Three building blocks:** Machinery or all risks, loss of revenue, operator liability - **Key underwriting point:** Maintenance contract and condition of major components - **Typical causes of loss:** Lightning, storm, gearbox, generator, rotor blades, fire - **Premium based on:** Replacement value, output, age and maintenance model ## Machinery cover: what is insured on the turbine German machinery insurance (Maschinenversicherung) pays for sudden and unforeseen damage to the turbine: operating errors, short circuit, overvoltage, design and material defects. Many wind policies extend this to all risks and add fire, lightning, storm, hail, theft and vandalism. Check that tower, foundation, transformer and the cabling within the park are named in the policy, since some offers leave them out. Wear and tear is never insured, and with wind turbines the line is hard to draw: a gearbox wears out over the years, and a bearing failure can be either. Insurers protect themselves with overhaul clauses that require a revision or an expert report after a set running time, or they apply a deduction for the age of major components. ## Maintenance contract and insurance belong together Many operators hold a full service contract with the manufacturer that already covers repairs and often part of the lost revenue. The insurance then mainly needs to cover what that contract excludes, such as lightning, storm and fire. When the full service contract expires or is replaced by basic maintenance, the risk for the insurer changes fundamentally. Most gaps open at exactly this point. If you switch to an independent service company, the insurer must be told and the policy adjusted. Some specialist schemes in Germany offer machinery business interruption explicitly for turbines without a full service contract. ## Loss of revenue: when the rotor stands still If the turbine stops after an insured physical loss, the operator loses the feed in tariff or market premium under the German Renewable Energy Sources Act (EEG). Business interruption cover replaces this revenue for the agreed indemnity period. Rotor blades and gearboxes can have long lead times and a heavy crane has to be booked for the exchange, so the indemnity period should not be tight. Policies usually carry a waiting period of a few days that the operator bears himself. Downtime without damage to your own turbine, for example when the grid operator cannot take power after a fault at the substation, needs a separate extension and is not standard. ## Operator liability, environment and dismantling As operator you are liable for damage caused by the turbine: ice thrown from the blades in winter, a fire spreading to forest or fields, oil from gearbox or transformer leaking into the soil. Operator liability covers bodily injury and property damage; with an environmental extension it also covers pollution damage and public law duties to remediate, for example under the German Environmental Damage Act. For turbines in open countryside, section 35(5) of the German Federal Building Code requires a commitment to dismantle the turbine once use ends for good, and the permitting authority normally secures it with a security deposit. Besides a bank guarantee, the guidance issued by the German states expressly mentions a surety bond from an insurer, which leaves the operator's credit lines free. ## What is covered - Damage to the turbine from operating errors, short circuit, overvoltage, design and material defects - Fire, lightning, storm, hail, theft and vandalism under all risks cover - Tower, foundation, transformer and park cabling, if included - Lost revenue after an insured physical loss for the indemnity period - Crane, salvage and clearing costs, depending on the policy - Operator liability for bodily injury and property damage, for instance from ice throw - Pollution damage from leaking oils and coolants, with environmental extension - Defence against unfounded claims by neighbours and landowners ## What is not covered - Wear and gradual deterioration of gearbox, bearings and brakes - Repairs owed by the manufacturer under warranty or full service - Lost revenue from low wind, curtailment by the grid operator or negative power prices - Deliberately caused damage - Erection and installation of the turbine, which needs erection all risks cover ## Who needs it - Community wind farms and energy cooperatives with one or a few turbines - Farmers and landowners running their own turbine - Small operating companies, usually set up as GmbH & Co. KG - Operators whose full service contract is about to expire - Owners of older turbines that keep running after the fixed EEG tariff ends ## Who does not need it - If you only lease land to an operator, you do not need turbine insurance yourself, but the lease should require proof of the operator's cover ## What it costs There is no price list for wind turbines; every turbine is underwritten individually. The premium depends mainly on replacement value, turbine type and its loss record in the market, age and maintenance contract. No independent published comparisons exist, so we do not quote sample premiums. **What drives the premium:** - Replacement value and rated output - Manufacturer and model, especially series with known serial defects - Age of the turbine and condition of major components according to an expert report - Full service, basic maintenance or independent service company - Indemnity period and waiting period for loss of revenue - Deductible and loss history of the turbine _Your premium is fixed only in the quote, which the insurer bases on a questionnaire, the maintenance contract and, for older turbines, an expert report._ ## The policy levels on the market - **Liability only:** Operator liability alone, for example when a full service contract with availability guarantee covers the technology. Cheap, but leaves lightning, storm and fire on the turbine open. - **Wind turbine policy:** Machinery or all risks, loss of revenue and operator liability in one contract designed for onshore turbines. The right approach for most community wind farms and single operators. - **Bespoke programme:** For several or older turbines without full service, with individual rules on overhaul, major components and grid outage. Usually negotiated by a broker with specialist insurers. ## How to recognise a good policy | Criterion | Minimum standard | Strong policy | Why it matters | | --- | --- | --- | --- | | Scope of property cover | Machinery breakdown with fire and lightning | All risks including storm, hail, theft and vandalism | Lightning and storm cause particularly expensive losses on wind turbines, and a struck blade often has to be replaced. | | Insured parts | Nacelle, rotor and tower | plus foundation, transformer, park cabling and grid connection point | One damaged cable in the park shuts down every turbine connected to it. | | Indemnity period | 6 months | 12 months or longer | Lead times for gearboxes and blades and the availability of heavy cranes stretch the downtime. | | Overhaul clause | fixed overhaul after a set number of years | expert report instead of blanket exchange, condition monitoring accepted | A rigid overhaul duty costs money even when the component is in good order. | | Deduction for age | deduction on major components by age | no deduction or a capped one | For a ten year old gearbox the deduction decides how much the operator pays himself. | | Crane and salvage costs | small sub limit | enough for a heavy crane deployment | The crane for a blade exchange can be a large share of the total loss. | | Operator liability limit | combined limit for bodily injury and property damage | high combined limit with pollution and environmental damage cover | A forest fire or a serious injury from ice throw quickly reaches large sums. | | Change of maintenance contract | duty to notify with no further rule | regulated in the policy, cover continues if notified in time | Moving from full service to basic maintenance is the most common moment for an unnoticed gap. | ## Insurers on the German market Not every German property insurer writes wind turbines, and cover is usually underwritten individually on the basis of a questionnaire. Alongside large insurers with their own wind policies, specialist and industrial insurers are active. The list describes the German market; it says nothing about which insurers we work with. - **R+V**: specialist scheme for wind turbines in its commercial lines - **Württembergische**: modular wind policy for onshore turbines - **Markel**: specialist insurer based in Munich with its own underwriting guide for wind power - **Allianz**: machinery and business interruption cover for wind turbines based on a questionnaire - **Allianz Commercial**: industrial arm of Allianz, insures onshore and offshore renewables - **HDI Global**: industrial insurer of the Talanx group, based in Hanover 163 insurers supervised by BaFin, the German regulator, are licensed for this class of insurance. (Hagel-, Frost- und sonstige Sachschäden, Allgemeine Haftpflicht). Source: BaFin company database, 2026-09-18; EU insurers without a German office excluded. ## Typical claims and who pays - **Lightning strikes a rotor blade** (high, with blade exchange, crane and downtime): Lightning is part of any property cover, but basic policies often cap crane and salvage, and without loss of revenue the downtime stays with the operator. - **Gearbox fails in year twelve** (high, with exchange, crane and downtime): The sudden failure is insured, the wear before it is not. For old gearboxes almost every policy applies a deduction for age. - **Ice falls on a parked car** (a few thousand euros): A textbook operator liability claim. The insurer checks whether ice detection was running and pays if the operator is liable. - **Park cable cut by a digger** (repair plus downtime of every connected turbine): Park cabling is missing from some policies. If it is included, repair and the lost revenue of every affected turbine are covered. - **A year of weak wind** (markedly lower income): Low wind is not physical damage and remains business risk. No loss of revenue cover pays for it. - **Gear oil leaks into the soil** (cost of soil remediation): Remediating the soil falls on the operator under environmental law. It is covered only with the environmental extension. ## Myth or truth - „German law requires insurance for a wind turbine." ✘ False, there is no statutory duty to insure. The lending bank and the landowner can require proof in their contracts, though. - „A full service contract protects the turbine completely." ✘ False, service contracts usually exclude lightning, storm, fire, vandalism and liability to third parties. That is what the insurance is for. - „Loss of revenue is only paid after physical damage to the turbine." ✔ True, business interruption depends on an insured physical loss. Low wind or curtailment do not count. - „Turbines in open countryside must have security for dismantling." ✔ True, the Federal Building Code requires a dismantling commitment and authorities usually secure it with a deposit. A surety bond from an insurer can provide it. - „Machinery insurance also pays for gearbox wear." ✘ False, wear is excluded under every machinery policy. What is covered is sudden damage, such as a fracture from a material defect. ## Common mistakes - Not telling the insurer about a move from full service to basic maintenance - Leaving park cabling and grid connection point out of the policy - Choosing a short indemnity period although spare parts have long lead times - Missing deadlines under the overhaul clause and losing cover for major components - Not adjusting sums insured and insured revenue once the fixed tariff ends - Buying liability cover without the environmental extension despite oil in gearbox and transformer ## FAQ ### Does the insurance pay for a gearbox failure? Yes, if a sudden event such as a material defect or a fracture caused it. Pure wear is excluded. For older gearboxes many policies apply a deduction for age, and an overhaul clause may require proof that the gearbox was overhauled or inspected after a certain running time. ### Do I need insurance if I have a full service contract? Yes, but different cover. The full service contract pays for repairs arising from operation but usually excludes lightning, storm, fire, vandalism and liability to third parties. Those parts need insurance. We put both contracts side by side so nothing is paid for twice and nothing is left out. ### Is lost revenue from low wind insured? No. Only downtime after physical damage to the turbine is covered. Weak wind years, curtailment by the grid operator and periods of negative power prices are business risk. ### Who is liable if ice falls from a blade onto a car? The operator, if he breached his duty of care, for instance because ice detection was not working or warning signs were missing. Operator liability pays justified claims and defends unfounded ones. ### What indemnity period makes sense? At least six, preferably twelve months. A blade or gearbox is not always available at once, and the exchange needs a heavy crane that must be booked as well. A short indemnity period runs out before the turbine is back online. ### Can an older turbine still be insured? Usually yes, with more scrutiny. Insurers often ask for an expert report on gearbox, blades and tower and set higher deductibles or deductions for major components. If you plan to keep running after the fixed tariff ends, renegotiate the policy in good time. ### Is the construction phase included? Normally not. Erection and repowering are covered by erection all risks insurance up to acceptance; the operational policy then has to follow without a gap. ### Why use a broker for wind turbine insurance? Because the German market is small and every turbine is assessed individually. We compare maintenance contract, lender requirements and insurance, obtain quotes and support you when a claim comes in. ## Legal basis and sources - [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. You can write in English. https://www.nammert.com/en/insurance-broker-wind-turbine-insurance.php#anfrage --- 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.