Which insurances do you really need? (2026)
Liability, contents, legal protection — what is mandatory, what makes sense and what you can skip at first.
Mandatory vs. sensible vs. optional
Apart from health insurance (mandatory) there is no other legal insurance requirement for private individuals — but some policies are practically essential. Others are sold aggressively although you do not need them at first.
The order for newcomers: health insurance first, then personal liability, then contents insurance depending on your situation. Everything else comes later.
Compare premium and cover amount — not price alone. Too little liability cover can become expensive in a claim.
Personal liability — the most important cover
Personal liability insurance covers damage you cause to others — for example injuring someone, damaging someone else’s property or causing water damage as a tenant. Without it you are liable with all your assets.
In Germany almost all adults have liability cover — landlords and flatmates often ask for it. Premiums are often €40–80 per year for several million euros of cover.
Check that tenant damage is included and whether partners or flatmates are covered. Family tariffs are usually cheaper than separate policies.
Contents insurance — when it pays off
Contents insurance protects your belongings in the flat against fire, escape of water, storm and burglary. It is worth it if you would struggle to replace furniture, electronics and clothes.
In a furnished flat or with little property it can wait. In your own furnished home with laptop, TV and furniture it makes sense — often €80–150 per year.
Bundle packages (liability + contents) are convenient, but compare the total with separate policies.
What you can skip at first
Legal expenses insurance: useful in disputes with employers or landlords, but not urgent on day one — often waiting periods and exclusions apply.
Disability and term life insurance: relevant for families and high earners with obligations, less so for short stays.
Phone insurance and gadget policies: usually poor value. Travel health insurance makes sense for holidays outside the EU — do not confuse it with mandatory health insurance.
Practical tips
- Liability first — often under €5 per month.
- Cover at least €10 million for personal injury.
- Take contents insurance only once you have valuables to protect.
- Compare bundle tariffs, do not sign blindly with an agent.
Common mistakes to avoid
- No liability cover — one water damage can wipe you out.
- Choosing only the cheapest price with cover that is too low.
- Confusing health insurance with travel add-ons.
- Buying “required” extra policies from the landlord without checking.
- Doubling contents cover in a furnished flat (landlord often has a policy).
Checklist before you compare
- Health insurance in place (mandatory).
- Compare and take personal liability including tenant damage.
- Cover amount and named insured checked.
- Contents only if needed — rough inventory estimated.
- Unnecessary add-on policies declined or postponed.
Frequently asked questions
Is liability insurance legally mandatory?
No, but practically essential. Without it you are personally liable — landlords often ask for proof.
Do students need contents insurance?
Only if you own valuable items you would have to replace yourself. In a shared flat liability alone is often enough at first.
What about car insurance?
If you register a car you need motor liability insurance by law. That is separate from personal liability.
Next steps: compare & save
Basics sorted? Put them to use — compare in the categories that matter most.
Back to the essentials overviewMore articles
Essentials: setting up your first contracts in Germany (2026)
Registration, mobile, internet and electricity — the order to follow, common traps and what you can actually save in your first weeks.
Registering at the Bürgeramt: step by step (2026)
Registration is the foundation for bank account, contracts and authorities. Which documents you need, how the appointment works and the deadlines that apply.