Tips on what to organise in connection with vehicle, health and household insurance before you come to Germany.

Vehicle insurance

If you have been driving for many years you may have built up a no-claims bonus in your home country. For newcomers German insurance companies are prepared to take this into account when determining a no-claims bonus (NCB). This is an attempt to ensure that the premium fairly reflects how carefully someone has been driving in the past.

However, NCB systems vary from country to country. And the certificates confirming the NCB vary even more or may even not be forthcoming. Some insurance companies refuse to send letters abroad or to produce anything more than a standard letter, which is frequently not adequate. Customer care for ex-customers can be quite dire. Getting all this sorted out by phone and mail from overseas can prove to be arduous and may not be completely successful.

It is worth getting this right, however, as your no claims bonus, once it has been established, stays with you in Germany – even if you change your insurance company. If you cannot provide documentation you may end up paying 230% of the regular premium. When you leave Germany your NCB will be documented in a certificate for the next insurance company. So each percentage point lower means savings over a long period.

Before you move to Germany talk to your current insurance company. Explain the above to them and why it is important for you. Ask them to provide a document that includes the following:

  • Full name and date of birth of person insured.
  • Policy number.
  • Type of vehicle insured –car, motorcycle, camper etc.
  • Type of insurance - liability, fully comprehensive
  • Date when insurance commenced expressed as DD:MM:YYYY. This is sometimes a problem. Your current insurer has probably based his NCB on your records with previous companies. Try to get confirmation going back as far as possible. If necessary you may have to chase up records at a number of previous insurers, which can be extremely tedious but worthwhile in the long run.
  • Date when insurance ceased expressed as DD:MM:YYYY. Your German insurer needs to know that you have ceased using the NCB back home. So if you are using your insurance right up until the day you leave make sure your insurer is prepared to confirm the date when the policy ended and send the paperwork on to you ASAP.
  • The certificate should also indicate if there have been any breaks in the insurance and when.
  • Date of any claims made and a description of what they were made for – liability, fully comprehensive, fire, theft etc.
 

To top it all, this document has to be provided by the insurance company itself (not your broker) and it has to be an original – no faxes or e-mails.

If you are coming over as a couple it makes sense for both partners to do the above, just in case you decide you would like a second car at some stage.

Health Insurance

You will find a number of helpful articles about health insurance elsewhere on this web site. Here are some tips on what is important before you make the move to Germany.

Health insurance is obligatory in Germany and getting it set up is something that often happens in a rush on day “one” after you arrive. To keep your options open it’s important to be prepared for this. Getting it wrong can cause long-term disadvantages.

If you are coming to Germany from another European country, talk to your health insurance provider there and ask them to draw up a certificate stating how long you were insured with them.. This means that you may be able to switch into a private health insurance without needing a full check-up or having to observe a waiting period.

You may have to answer health questions going back as long as ten years. It will be easier to research the information before you come to Germany.

You will probably be asked for :

  • names and addresses of doctors and hospitals,
  • details of illnesses
  • dates of treatment.
 

If you have doctors´ reports bring them with you.

If you are looking at setting up disability or life insurance in Germany you will also be asked for similar information.

If you want to opt for private health insurance, your income, if you are an employee, has to have been above 49,950€ per year in the last three years to meet German regulations. (This amount is valid for 2010 and is subject to change in the future). So remember to bring your salary statements for that period (current statement and year end statements) as proof of income.

For employees whose salary is lower, membership in the state system is obligatory. However, there are no health questions to be answered.

Household Contents Insurance

This covers your property against risks that include damage from fire, storm, hail, break-ins as well as damage caused by leaking mains water and, in some policies, flooding or avalanches etc.

One way to assess the value to be insured is based on an estimated value per square meter, which is commonly 650 Euros. The insurance company agrees that for evaluations made on this basis they will not make a deduction for under-insurance in the event of a claim.

However, assuming that your new apartment is 150 square meters this would result in an insurance sum of 97,500€. If you are just setting up home this could be much too high.

If you are shipping your furniture you will be asked to value your property and this together with items you buy once you arrive could, at least initially, be a more realistic sum to insure. Keep your eye on developments though as your property accumulates!

If you have to make a claim because of, for example a fire, it will be helpful if you can supply receipts at least for the more valuable items. So this is something else to bring with you when you come to Germany.

Contributed by Graham Waters
Internet: www.waters-allianz.de
Email:graham.waters@allianz.de.

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