Insurance in Germany

Insurance in Germany

Insurance in Germany gives you as a resident of the country or a visitor a chance to enjoy the goodies that the country has. For a fact, having a proper insurance in Germany doesn’t necessarily mean that the county is unsafe. Insurance in this case takes care of the many things that may unfortunately occur and throw you off budget.

Insurers in Germany are the sure and caring partner  at the point of most need. There are different types of insurance in Germany, and they play an important role in carrying out daily activities. For example, in Germany, insurance plays a role in protecting one’s family and themselves from financial losses. Besides, insurance assists in maintaining a family’s standard of living in case of a loss of a job or death. German insurance is regulated by Federal Financial Supervisory Authority.

Health Insurance Germany

In Germany, there is free healthcare, and it is funded with statutory contributions. In addition, German residents are allowed to take Private Krankenversicherung (private health insurance). All the German residents can access health care through public health insurance. Other European Union residents can access health in Germany through EHIC.

An employee earning less than €57,600 yearly takes part in Gesetzliche Krankenversicherun (government health scheme). To register for health care in German, one should visit Einwohnermeldeamt (town hall). After registration, one gets a Sozialversicherungsnummer or German social insurance number.

Insurance in Germany

German residents may choose to opt from state insurance and take private health insurance. To do so, one should meet the following conditions:

  • A public employee or civil servant
  • Artist
  • Freelance professional
  • Self-employed
  • Working part-time while earning less than €450 monthly
  • An employee earning over €57,600

Unemployment Insurance

In Germany, one should contribute about 2.5% of their earned income on unemployment insurance. Both the employer and the employee pay half and half. The following are the eligibility requirement for unemployed individuals:

  • No job or works less than 15 hours weekly
  • Registered in the labour office and made an application for unemployment benefit
  • Available for work
  • Have completed the period for qualifying, which is paying contributions for at least 12 months of 24 months before unemployment
  • Making several job applications

When one is ineligible for unemployment benefits in Germany, they can get unemployment benefit II. The conditions include being in need of support, fit to work, between 15 to 65, and a resident of the Federal Republic of Germany. As for the benefits, unemployed people with children get 67% while without getting 60%.

Car Insurance

Just like health insurance, car insurance is mandatory in Germany. Therefore, a minimum of third-party insurance is required for every vehicle. In Germany and most of the European nations, it is the vehicle that is insured and not the driver. The third-party insurance indemnifies damages on other vehicles and medical costs in case of an accident.

Teilkasko or partial cover insures everything in the third part as well as costs linked to damage of one’s own vehicle. The other things included in the insurance are storm damage and fire. Unfortunately, vandalism is not covered when it is your fault.

Comprehensive insurance covers all the costs. Even when people damage their own vehicles, they get covered. The factors considered in car insurance costs in Germany include:

  • Vehicle use
  • Driver age
  • Vehicle value
  • Driver record and experience
  • The number of insured drivers
  • location

Home Insurance

Everyone dreams of owning their homes. Thus, home insurance assists in covering damage or loss caused to the home because of accidents. The accidents include natural calamities, fire, earthquakes, lightning, and floods.

Insurance in Germany

In Germany, there are three main home insurances. They include Homeowners’ liability insurance covering movable belongings, including equipment, furniture, and clothing. The building insurance covers fixed property such as ceilings, floors, and walls. The home contents insurance covers accidents in the home causing injury.

Life Insurance

Just like the name suggests, life insurance covers one’s life in Germany. Insurance is important in ensuring that the dependants are secure financially in case of untimely demise. People who need life insurance in Germany include business owners, old adults with no savings, adults with student loans, main family earners, and parents with small children.

In Germany, life insurance premiums depend on one’s health, length of policy, the amount covered, and policy type. The insurance does offer a certain amount of money to the dependants of the deceased person.

Travel Insurance

Travel insurance is mandatory when one makes an application for the Germany Schengen visa. The policy is also important for Germans visiting other nations outside European Union. The reason is that through it, one can get emergency medical expenses.

The other benefits offered by travel insurance include repatriation, in which there is transportation of an individual to the home country in case of death. Also, it covers one in case of shortening or annulment of the trip. Moreover, there is coverage for missed and delayed departures, stolen baggage, and travel abandonment.

Pet Insurance

The German law requires every pet owner to have insurance. Pet liability insurance covers financial damages linked to an individual’s pet to a third party. Therefore, every dog owner is liable for damages to third parties because of the pet.

Pet insurance also covers personal injury covering medical care, and property damage caused by dogs to flats and buildings. Other things covered in liability insurance include passive legal fees, financial loss, and broken things.

Legal Insurance

In Germany, legal insurance covers costs linked to unexpected legal issues. It means that the insurance company deals with translation costs, witness expenses, court fees, legal fees, and lawyers. Besides, the insured can be protected from disagreements in different law areas.

Family or personal liability insurance

Personal liability takes place in case of an accident or out of the home. The personal liability benefits include legal fees, medical bills, as well as when a guest is injured on the property. Taking the insurance can help an individual not to take money from their pockets in case of incidents. The insurance also covers property damage, bodily injury, and lawsuits.

Popular insurance companies in Germany

  • Techniker Krankenkasse
  • Allianz
  • ARAG Group
  • ERGO Insurance Group
  • Generali Deutschland
  • Hannover Re Group
  • Munich RE – insurance and reinsurance group
  • AXA Konzern
  • Zurich Group Germany
  • DKV German health insurance