Realtor's tip: Look closely at your homeowner's insurance.

Every owner of a residential building must take out residential building insurance, as it is considered mandatory insurance. A residential building is defined as a house where at least half of its use is intended for residential purposes. The insurance must be taken out even if part of the building is used as a workshop, studio, or similar. Residential building insurance is legally established in the BGB (German Civil Code), the VVG (Insurance Contract Act), and the HGB (German Commercial Code).

Insured Claims for Home Buildings Insurance

Homeowners insurance is a Associated insurance. I.e., in an insurance contract there are several claims covered, which can otherwise also be covered by individual insurance policies. The pooling of claims ensures that the most basic damages to a building are actually insured, thus eliminating the need for a cumbersome review of individual insurance policies.

Covered are:

• Damage from Fire – Consequences of fires, damage from explosions and implosions, damage from lightning strikes
• Storm damage and Hail damage
• Tap water damage, pipe bursts as a result of frost and other causes

The insurance coverage includes:

• The entire building, including doors, windows, driveways, the roof, fixed roof structures, etc.
• Additions and accessories firmly attached to the building – Terraces, balconies, roof gardens, doorbell and mailbox systems
• Inventory that is permanently attached to the building – Built-in wardrobes, fitted kitchens, permanently installed flooring (e.g. tiles, floorboards, etc.)
• Installations in sanitary areas and other fixed assets

In addition, outbuildings on the property can be included in the insurance policy. These include, for example, garden sheds, tool sheds, garages, carports, and permanently installed bicycle shelters.

Follow-on costs of damages – coverage by insurance

The homeowners insurance covers consequential damages resulting from one of the named insured events:
Through Fire damage, burst pipe, storm, and hail damage Apartments can no longer be fully used for their intended purpose. In such cases, insurance covers the resulting loss of rent during repair work. Loss of rent is also covered if apartments have become completely uninhabitable.

In the wake of the aforementioned damages, extensive clearing and demolition work be necessary and are covered by homeowners insurance. This includes, but is not limited to, decontamination costs, damages due to loss of water access, expert fees, and cleanup costs for fallen trees. Drying costs after water damage from broken pipes are covered. Damages caused by extinguishing water in case of fire are also covered by insurance. If fire damage and other aforementioned damages are so severe that the house is temporarily uninhabitable, the insurance will also cover... Hotel costs or other lodging expenses during the restoration of residential areas on.

Disputes often arise regarding the amount of these insurance benefits, which may need to be settled by an expert assessment in case of doubt. The insured homeowner should ensure that as much as much conclusive evidence as possible for the damages incurred Photos of the damage and a well-founded damage assessment should be created as soon as possible.

What does homeowners insurance not cover?

Private property that is not immovable Building inventoriable is not covered by homeowner's insurance. This includes, for example,. Furniture, various household goods, clothing, artworks, private, mobile furnishings in the garden, on the terrace or balcony and more. These damages fall under the responsibility of household insurance. This insurance should be taken out by both the owner living in the building and tenants with current coverage amounts.

The homeowners insurance is also not reimbursable if, in connection with fire, storm, water damage, or lightning damage People to be injured. Here, as with damage to property in one's own or another's building, the Liability insurance adequate insurance coverage.

Therefore, tenants should not rely on the landlord's building insurance if they or their property are damaged. While private insurance is voluntary, it provides indispensable protection in the event of a claim.

Not covered by building insurance are Natural disasters, such as floods, damage from political unrest and similar occurrences.

What extensions are available for homeowners insurance?

Zur Basic performance a building insurance policy can the insurance contract individually further expanded by additional damage risks become.

are added, for example, the Entry of harmful substances into water bodies from the house's facilities that are insured. Also damage that is specifically caused by Friction and smoke developmentg in case of a fire can be additional components of the insurance. These include, among others, damages that occur particularly in smoldering fires. It can be insured Risks of danger from breaks in gas lines and gas leaks. Rainwater and meltwater damage, which are not covered by the basic insurance benefits, can be included as extensions, as well as damage caused by sewage backup.

When considering additional damage protection, it's always important to carefully weigh whether the risks and additional costs for home building insurance are balanced.

Additionally, cost coverage can also be expanded through homeowners insurance. Components of such expansions include, for example, a Extension of compensation for rental losses, higher compensation for clearing and demolition work, for replanting green spaces, and for reforestation of felled trees.. Additionally, storage and transport costs for insured items can continue to be covered. Many insurance policies offer comprehensive risk extensions and higher coverage limits for various claims as part of comfort and premium contracts.

As claims increase, higher coverage naturally also comes with higher costs for building insurance. However, extended coverage can be advantageous for a wide variety of insurance policies. In an emergency, the risk is reduced that in the aftermath of major damage, owners will fall into a debt trap or even lose their property. Reputable insurance companies offer customers comprehensive personal advice on all options for extending basic homeowner's insurance. It remains to be considered how well such extended insurance coverage fits into one's own budget. This is where Online insurance comparisons to the various tariffs of an extended home insurance.

Home insurance and elemental insurance

In the recent past, the risks for Elemental damage from floods, avalanches, landslides have increased. Floods also frequently occur in regions not originally considered at risk. Elemental damage insurance can be taken out as a separate policy. However, it is also offered as an additional component to a homeowner's insurance policy.

sensible approach Adding elemental damage insurance to a building insurance policy when the building is located in an area with a fundamental risk., where the risk has increased in recent years or where an increased future risk is foreseeable. However, forecasting risks for the future is quite difficult in times of climate change. Therefore, many homeowners want to be broadly insured against such damage events.

However, adding elementary damage insurance to homeowner's insurance is quite expensive. The costs are particularly high right now for areas that are not currently considered risk zones. Policyholders should thoroughly research comparisons online. Since insurers can set their rates at their own discretion and depending on market conditions, there are significant cost differences for this supplementary insurance.

It is also important with the elemental damages insurance module to pay attention to clauses that can limit or even exclude various risks and coverages under certain circumstances. The design of the contracts also varies from insurance company to insurance company. In addition to an online comparison, insurance-independent advice, such as from verbraucherzentrale.de, can be very helpful.

Anyone buying a house should take a very close look at the existing building insurance policy. With older policies, switching to a more cost-effective offer can make sense, especially if upgrades are planned.