Tuesday, February 2, 2010

Must Have Insurances

Many of us have been living in Germany for quite a while, yet we always fail to get enough information about the mandatory insurances in Germany besides Health Insurance or we just do not know or just we ignore them. If you have not got these mandatory insurances then I just say you definitely are living on the edge in Germany.
I shall list here some mandatory and optional but very effective insurances which I feel everyone should have them to be more secure and at peace in Germany. I shall also not delve delve with compulsory Health Insurance as we all have in all cases thou it is private or public depending upon our income levels and our priorities.

PrivatHaftpflichtversicherung (Personal Liability Insurance):

This one is the most mandatory insurance for everyone so that the insured person shall be protected from the costs of involuntary damages to the public or private properties.
There can be many chances that one may involuntarily damage other’s personal things, for eg., you have visited a friend and you tend to be very helpful to your friend, try to help your friend by adjusting his disoriented carpet by pulling it not realizing that the television table lying on it, where on it there is newly-bought 54.6 inches LED television costing more than 1500 euro, which just was brought down onto the ground because of your sheer pull applied by your own hands on the carpet. Well, you will be left with a black face and your friend with red. If you have a PrivatHaftpflichtversicherung then you can still have a smile, whereby with proper proof of the damage you caused to the private property of your friend, you can claim the total cost of your friend’s television.
You can find the best options from Janitos for PrivatHaftpflichtversicherung around 60-80 euro per year: http://www.janitos.de/de/zg/versicherung/haftpflichtversicherung/Privathaftpflicht-Versicherung_PHV.jsp

Berufsunfähigkeitsversicherung (Disability Insurance):

I wish everyone should be doing better all the time and never be in situations whereby you may be some sort of disability due to unforeseen health hazards in one’s life. “Touch Wood”. Yet we can never expect what may come.
Disability Insurance is mandatory everyone who is working, which shall be benefit the insured incase of an accident and prolonged illness. This insurance is supplement to the accident insurance yet will be quite helpful during prolonged illness. During Prolonged Illness your Health Insurance shall pay almost full-salary for not more than 6 weeks and much reduced salary (50-60%of Net Income) for not more than 6 months. Yet if you have a Berufsunfähigkeitsversicherung, you shall get all the time of your prolonged illness or accident much more than to have a better life.
Alte Leipziger assures you a payment of 2000 euro every month during your prolonged illness and accident recover period if you pay 101 euro every month when you are earning and having a better health. Though it may sound a little expensive paying 101 euro every month, but it definitely will be a boon during the bane period of our lives.

PrivatUnfallversicherung (Accident Insurance):

Usually for those who are working, your employer shall provide you with Accident Insurance. If not then it is mandatory to have a accident insurance in Germany where there is much risk due to Autobahn traffics, unlimited speeds, weather and accidents due to many other unexpected means. An accident insurance shall provide you with complete coverage of your treatment which usually health insurances do not. Therefore you definitely need to have an accident insurance for everyone in your family. I hope no one should be in such ominous situations, yet intelligence lies in having an accident insurance in very costly health services nation.
By the way if your employer does not provide any, you can ask for one. If they cannot, then it is better to get one in any case.
Janitos has the best options costing around 100 euro per year with good coverage. http://www.janitos.de/de/zg/versicherung/unfallversicherung/Unfallversicherung_07.jsp

PrivatRentenversicherung (Pension Insurance) (Optional):

I shall categorize PrivatRentenversicherung as optional, as many of us may not opt to live in Germany forever. For those who desire to retire in Germany can opt for some better Pension insurances whereby you pay additionally some amount towards your pension insurance and once you retire you can reap better amounts every month than the usual social pension pay which may not be sufficient enough to have better retirement life. There are different kinds of Rentenversicherung and I advice you to consult a Financial Consultant who can guide you to a good Pension Insurance to meet your requirements.

Risiko Lebensversicherung (Risk Life Insurance) (Optional):

Risk Life Insurance as the name suggests the insured during the insured period dies, a contractually agreed sum shall be paid to the beneficiary of the insured person. This shall protect the families of the insured person.
Europa provides the best options for Risiko Lebensversicherung: http://www.europa.de/de/htm/risikoleben/detailinfo.html?sid=6bcfa732569bee8fa67c54f538b910d9

Hausratversicherung (Household Insurance) (Optional):

Hausratversicherung shall protect the insured from the damages or loss caused to the personal property from theft, fire accidents, climatic hazards etc. The cost of damages or loss of the property shall be paid by your insurance company if you have a House-hold insurance. Usually it is advisable for families with kids to have this insurance.

Rechtsschutzversicherung (Legal Expenses Insurance) (Optional):

Rechtsschutzversicherung or Legal Expenses or more informally Lawyer’s Insurance is an optional which shall pay for your legal issues i.e. towards your lawyer’s fees for his/her services for your legal issues. It does help in Job-Crisis to sue your employer. Usually a Rechtsschutzversicherung costs from 12€ – 30€ per month depending upon the contractual agreements.
You can find the best Financial Consultation without any penny to pay from MLP Financial Consultants spread across Germany. You can find English speaking Consultants in every branch of MLP. Please note MLP Services are free of cost. You really don’t have to spend even a cent from your pocket for their best services.
For those living around Essen especially for Indians, you can contact Mr. Pradeep Tharakan, an Indian who selflessly extends services in English.
Pradeep Tharakan
MLP Essen
Telefon: +49 (0) 2 01 / 72 94 80 -54
Telefax: +49 (0) 62 22 / 90 90 56 11
E-Mail: Pradeep.Tharakan@mlp.de
MLP Finanzdienstleistungen AG
Essen III
45127 Essen
P.S: I shall appreciate if you leave your comments and suggestions if you have better options and if you think there is more to be added to the list.


  1. Excellent. It is amazing to see how helpful you have been to the whole community in general. I have become a fan of Seema Blogs :-).

  2. Yes, the most important is PrivatHaftpflichtversicherung (Personal Liability Insurance) or Haftplichtversicherung in general which cost around €56 for an year. If you live in Bremen, you can contact to

    Friedrich Scheidt GmbH & Co. KG
    Herrlichkeit 5-6
    28199 Bremen
    Telefon: (0421) 5950902

    Further to Hausratversicherung: If you live in a private house and something terrible happened like, water from broken pipe leaks into a neighbour's home, or a pipe connected to the washing machine breaks down and floods the entire apartment then this insurance will save you from paying some thousands of euros.

    Make sure that you understand the conditions apply.

  3. Insurances are usually the last thing we think about when planning to live overseas. Ex-patriates often face difficulty adjusting to their new social norms. Seema Blogs has provided a resource of vital information for those who are considering Germany as their new home. Thanks for providing the detailed links for making live in Germany more comfortable.

  4. Insurance premium is a cost people pay for the fear they live with. Has anyone read the book "Fear" It talks about how people keep paying for their Fears.
    I would say it a must read, tells why people keep paying for fear. Here is amazon link for same - The Culture of Fear

  5. I agree with you, but people should buy within their budget instead of just listen to agent

  6. hi friend, its a good post, thanks.
    i was follow you already number 193, please come in my blog.

  7. Hi, Insurance is a safety net for those left behind. Though the whole thing is commercialized now,sometimes before our flight has landed in our home town, we are inundated with calls from agents waiting to sign us up.

  8. @Ananymous: Thanks for your wishes.
    @raavi: Thanks for your further suggestions and some useful info for those living in and around Bremen
    @TMS KNS: Thanks for your words of support
    @Priya: Infact insurance premiums may be the cost we pay for the fear we live with, yet I believe a precaution even if it is out fear is better than the cure. Thanks for referring the book.
    @Xaivier Chia: Definitely it is important we do be careful when signing the contracts for insurances than just believing the agents.
    @Hobby Exchange: Thanks for my no 193 follower
    @sinianto: Thats true many agencies have come-up as these days insurances businesses are booming a lot. Yet I always advice everyone to be careful with every insurance you take and understand the conditions well.

  9. For those living in Germany, please check the best available insurances and their ratings and comparisions thru
    You may need to pay a little amount to get full comparision and test ratings.

  10. Very Informative. Thanks.
    Kajal Das

  11. Very informative.. vielen Dank!