"Was is das?" Blog Series:

What is Haftpflichtversicherung?

This is our first article of the series "Was is das?" (in English: "What is this?"). We will try to explain with simple words the German terminology in particular fields like insurance, banking, finance, real estate, immigration, etc. We will also give you examples of typical situations that could happen in real life, so you can visualise it better. Basically, everything about German bureaucracy.

You will need to know all or some of those terms if you intend to live in Germany as they will be part of your daily life. Those words are needed as they are the first steps you will need to take out to settle down in Germany.

German bureaucracy is a jungle, we will help you with it and try to facilitate your move to Germany. Simplifying bureaucracy is our mission. Enjoy our first article of the "Was is das?" Series!

What is Haftpflichtversicherung?

[Enthält Werbelinks]

Haftpflichtversicherung, Privathaftpflichtversicherung or Privathaftpflicht (or just Haftpflicht) means Third-Party Private or Personal Liability Insurance in German.

Private liability insurance is optional, but one of the most popular and important insurances to have in Germany. Indeed, if you accidentally damage another person’s property or injure someone in your day-to-day life, you are liable for all your personal assets (cash, investments, properties, vehicles, furniture, etc). That’s German law (source)!

If you have private liability insurance, you can protect yourself against financial risks and potential lawsuit costs.

What is covered by private liability insurance?

Here are some examples:

If you accidentally drop and break your friend’s new MacBook Pro, you will be held liable for the damage. In other words, you will owe him 2,700€. With private liability insurance, you do not have to be worried; your provider will take care of that amount.

If you accidentally drop a glass of red wine on your neighbour's carpet, you will be held liable for the damage. In other words, you will have to pay out of your own pocket for the carpet cleaning service or – even worse – buy him a new carpet if the wine stains can’t be removed. This could cost you up to 3,000€... Unless you have private liability insurance that will pay the bill for you.

If you accidentally drop a pot of flowers from your second-floor balcony on another person’s car or – even worse – cause personal damage with possible hospitalisation to that person, you will be held liable as the party responsible for the damages. This could easily run into several thousand euros, if not more. If you have taken out private liability insurance, your provider could cover the hefty costs of that person’s treatment and hospital stay, and even pay for the car damages.

If your kids accidentally scratch another person’s car with their bikes, you will be held liable for the damage. A surface scratch can cost you as little as 150€, but a deep paint scratch can cost upwards of 3,000€.

If your 4 years old daughter accidentally belted a soccer ball into another kid’s face, but that kid was wearing glasses! Glasses were broken and there was blood coming out from this kid’s nose... You will be held liable for the broken glasses as well as the injury (potential hospitalisation). Your provider could cover the costs of that kid’s treatments and pay for brand-new glasses.

You rented a furnished flat and accidentally hit the TV while vacuuming the floor. The screen is completely broken and the TV that you do not own needs to be replaced. You will be held liable by your landlord for the damage. With private liability insurance, you do not have to be worried; your insurance provider will take care of the bill.

You are in a parking lot entering your car to leave the place, but the owner of the car next to you claims that you scratched his car’s door when opening yours, but you actually didn’t do it. You can protect yourself against potential litigation costs if you have private liability insurance.

If you lose the keys to the entrance of your rented apartment building, you will be held liable by your landlord for the loss. Landlords usually charge between 40€ to 60€ for key replacements and around 1,000€ in case all building locks need to be replaced. Don't worry, your private insurance provider even covers you for those expenses.

If you’re driving a rented car abroad in Europe and cause damage to someone else or their property, you will be held liable for the damages or injuries caused. With private liability insurance, you do not have to be worried; your insurance provider will take care of the whole bill.

Imagine this scenario: You are crossing the road with a red light causing a car to hit a traffic signpost after trying to avoid hitting you. The driver is injured and incapable of working again. The driver's injuries and damages could cost you millions. Private liability insurance will save your life in this case. Make sure to choose a provider with high financial coverage.

Third-party liability insurance can protect you from an unimaginable financial crisis, defend you against potential litigation costs and save you from additional bureaucracy. In other words, it will help you to enjoy a peaceful and stress-free life in Germany (and abroad).
Also, private liability insurance is cheap despite it being the second most important insurance in Germany after health insurance. The regular monthly price for this type of insurance varies between 3€ to 6€ on average.

What is not covered by third-party private liability insurance?

Damages or injuries made by your dog or drone to another person or to someone else's property. In order to be protected against financial risks and potential lawsuit costs, you need to take out dog liability insurance (check out here) and drone liability insurance (check out here).

This is another topic. We will be writing about dog and drone liability insurance very soon... We will keep you posted.

Other stuff that isn't covered: Damage to your property caused by yourself, window damage in rented living spaces, car accidents (more details here) and damage from deterioration.

Are any other animals insured with private liability insurance?

Private liability insurance covers tame pets like cats, small domesticated animals and bees. This includes pigs, sheep, goats, rabbits, pigeons, chickens, other poultry and bees, as long as they are kept for private purposes. Wild small animals (such as spiders, chameleons, and Norway rats) are also insured.

Animals that aren't included in the coverage: dogs (more details here), cattle, horses and other riding animals and animals used for commercial or agricultural purposes.

What is the financial coverage for private liability insurance?

If you choose a good insurance provider, you can cover yourself for up to €50 million in damages, injuries and litigation costs.

Is it possible to get an insurance tailored to your needs in less than 5 minutes on your phone?

Yes! Get the best insurance coverage on your smartphone – all in a matter of minutes.

✓Enjoy worldwide coverage ✓No fixed duration, can be cancelled at any time ✓ 100% digital ✓100% in English ✓Insure yourself in just 5 minutes ✓Flexible - Extensions can be added at any time ✓24-hour service ✓Payouts made in a matter of minutes ✓Cover yourself for up to €50m ✓Award-winning products