What is covered by liability insurance?

What is the difference between third-party liability insurance and liability insurance, and are they required?

Personal liability insurance is sometimes referred to as third-party liability insurance. As described above, third-party liability insurance for motor vehicles is mandatory, but personal liability insurance is not required. However, it is advisable to purchase this insurance to protect your own financial situation (liability claims can result in very high damages). In addition, the premium is generally relatively low.

Personal liability insurance provides coverage for damages arising from fault-based and strict liability. In other words, liability insurance covers damages for which you may be held liable (of course, exclusions may apply).

What is the maximum amount of damages covered by liability insurance?

This can vary by insurer. The insured amounts range from 1 to 5 million euros per incident, but 2.5 million is the most common insured amount. You can often choose between two amounts.

Does liability insurance cover damage caused by my child?

If you have purchased insurance based on family coverage, damage caused by your children to others or at others’ homes is also covered. However, if your child damages property in your own home, this is unfortunately not covered.

Does liability insurance cover damage I cause to someone else's laptop and cell phone?

This coverage applies when damage is caused to persons who are not covered under the family coverage of the liability insurance. Of course, this damage must not have been caused intentionally.

Does liability insurance provide coverage if my dog bites someone?

In most cases, damage caused by pets to others is covered under liability insurance. However, the insurer will, of course, examine how the damage occurred. If you’re outside with your dog without keeping it on a leash, you’re taking a risk. Insurers may then decide, in accordance with their terms and conditions, not to provide coverage for this.

Does my liability insurance cover damage I cause while abroad?

Coverage is usually provided abroad. You can check the policy terms and conditions to see whether this applies only in Europe or, for example, worldwide.