Why do I need tenant insurance

What types of insurance are essential for tenants?

From water damage to legal disputes with the landlord: with this type of insurance, tenants are on the safe side.

1. The private liability insurance: A must in the rented apartment

Life as a tenant without a liability policy is possible, but far too risky. If the tenant causes damage to the rented apartment, private liability insurance will in many cases cover the costs. In extreme cases, this policy protects the tenant from financial ruin.

Private liability covers the damage to the rented property ("Rental property damage"). This includes permanently built-in objects in the rented apartment, such as windows, doors or floors and carpets that are firmly attached to the ground.

The tenant's liability insurance also plays an important role in the event of water damage. If the tenant culpably causes water damage, his liability insurance pays for damage to the foreign residential building and the foreign inventory up to the amount of the current value of the damaged property. If the polluter cannot be determined (or there is none), the homeowner's home insurance or the home insurance of the injured neighbors come into play. You will pay for the repair and the replacement of the damaged inventory.

The loss of apartment and front door keys of a rented apartment can also be about personal liability insurance to be covered. If the tenant loses the keys, the insurance will cover the costs of replacing the locks or replacing a complete locking system. Depending on the contract, the amount of the cost coverage may be limited or the tenant must expect a deductible.

What the tenant's private liability insurance does not cover, however, are damage caused by wear and tear, such as dowel holes in the wall or scratches in the floor. Damage to heating systems, glass damage (if the tenant could have insured against it), fitted kitchens from standard production and damage due to mold growth are also not included in the insurance.

Tenant with a dog also need a separate dog owner liability insurance. She pays specifically for the damage that the dog causes in the rented apartment. The condition for this: the damage must occur suddenly, not gradually. An example: scratch marks on the parquet that the dog has been on for years are not covered by the dog owner's liability.

2. Legal protection for rent: In a dispute with the landlord

Which living space counts for the heating bill? Do dismissal protection clauses also apply after the property has been sold? And do landlords have to renovate if there is "only" the risk of mold growth?

Tenants and landlords regularly fight disputes like this up to the Federal Court of Justice. These cases also show that there is a great deal of potential legal conflict lurking between tenants and landlords - from termination for personal use to cosmetic repairs

If there is a legal dispute, most of the costs must be paid in advance. Many tenants simply cannot afford it. In addition, some disputes can drag on for years, especially if an appeal is lodged against the first instance judgment. A legal protection policy with integrated rental legal protection ensures financially equally strong opponents and is therefore useful for tenants.

  • lawyers
  • the court
  • Experts commissioned by the court
  • a mediation (out-of-court dispute resolution)

With tenancy legal protection in hand, tenants can face a dispute with their landlord more relaxed - at least from a financial perspective.

Can landlords ask for household contents or liability insurance?

The conclusion of a household contents or liability insurance is extremely useful for tenants, but not mandatory. Landlords are not allowed to require their tenants to take out certain insurance policies in order to win the contract for a particular rental apartment. Corresponding clauses in rental contracts are therefore ineffective (source: Deutscher Mieterbund).

3. Household contents insurance in the rented apartment: Don't forget to protect yourself against natural hazards

Burglars enter an average of 300 apartments every day. Fires damage around 630 homes - also every day. This is the balance sheet of the household insurers. Who owns Protect inventory in your rented apartment would like, there is no avoiding household insurance. It pays if furniture and home furnishings have been damaged by the following hazards:

  • tap water
  • Storm and hail
  • Fire, lightning strike; Overvoltage from lightning; Explosion; Implosion;
  • Burglary and vandalism
  • Natural hazards (extended natural hazards)

Newer household contents insurances have usually already integrated protection against natural hazards ("natural hazard insurance"), with older policies tenants should add this cover afterwards. This means that the inventory is also protected in the event of damage caused by heavy rain or flooding, for example. Tenants and homeowners must expect that extreme weather conditions and associated damage occur more frequently in the future.

Tenants do not need to take out home insurance. Such a policy makes sense for owners of a property. In apartment buildings, the costs for residential building insurance are usually passed on to the tenants via the utility bill.