Is it mandatory to purchase liability insurance?

What exactly is (liability) insurance?

A (statutory) liability insurance policy covers damage to another person or their property that you have caused. If you are legally liable for this damage, it is generally covered by the (statutory) liability insurance policy.

Is it mandatory in the Netherlands to purchase (statutory) liability insurance?

Many people think that (statutory) liability insurance is mandatory in the Netherlands because they often hear the term “WA insurance.” WA insurance stands for “Wettelijke Aansprakelijkheid” (Statutory Liability). This type of WA insurance is mandatory, but it applies only to damage caused by motor vehicles.

Personal liability insurance is not required by law. However, it is advisable to purchase liability insurance. Especially with small children and pets, accidents can happen at any moment.

Is my employer required to purchase (statutory) liability insurance?

Liability insurance is not mandatory for businesses either. You can probably imagine that the need for this type of insurance is even greater for a business than it is for you as an individual. Your own liability insurance does not cover damage you cause as an employee (i.e., while working for someone else). This is because your employer is liable for such damage.

If you are volunteering (and are therefore not an employee and do not receive a salary) and damage occurs, it is covered under your personal liability insurance. It is often also covered if you receive a small reimbursement for expenses. You can find this information in the policy terms and conditions.

Is (liability) insurance expensive?

The premium for (statutory) liability insurance is often just a few euros per month. Of course, this depends, among other things, on whether you choose an deductible, what the insured amount per incident is, and whether or not you opt for family coverage. These factors all influence the premium.

You can use our website to calculate your liability insurance premium. There, you’ll see that liability insurance is often part of what’s called a “home insurance package.” This insurance package also includes, for example, contents and building insurance. You can also choose to add legal expense insurance.
If you’re having trouble figuring it out online, you’re of course welcome to contact us by phone. Together, we can then review your options and provide you with further information.