🚗 Car Insurance in Germany – What Expats Need to Know
Driving in Germany can be exciting – from Autobahn speed limits (or the lack of them) to beautiful countryside roads. But before you hit the road, it’s essential to understand how car insurance works in Germany.
Here’s a quick and clear guide tailored to expats.
🛡️ The 3 Types of Car Insurance in Germany
Germany has a tiered system for car insurance. Here’s what each level means:
1. Liability Insurance (Kfz-Haftpflichtversicherung) – Mandatory
This is the minimum required by law to register a car. It covers:
- Injuries or death caused to others
- Damage to other vehicles or property
👉 It does not cover damage to your own car.
2. Teilkasko (Partial Coverage)
This optional insurance includes everything from liability, plus:
- Glass breakage (e.g., windshield cracks)
- Fire, explosions, storms, hail
- Theft (car or parts)
- Marten damage (small animals chewing cables)
💡 Recommended if your car is a few years old but not new.
3. Vollkasko (Full Coverage)
Includes all of Teilkasko, and also:
- Damage to your own vehicle (even if you caused the accident)
- Vandalism
- Hit and run (if the person can’t be identified)
💡 Ideal for new cars, financed vehicles, or expensive models.
🪪 Your Insurance History – Why Non-EU Expats Start at the Bottom
In Germany, your price depends heavily on your damage-free driving years (SF class).
- Only driving experience proven through a European insurance company is recognized.
- If you’re from India, the US, or other non-EU countries, you typically start at SF ½ or SF 1, meaning higher premiums at first.
📉 Over time, your premiums will drop each year you drive without accidents.
🗺️ Regional & Vehicle Type Classes – Why Where You Live Matters
Two other factors impact your car insurance cost:
1. Regional Class (Regionalklasse)
- Based on how many accidents, thefts, or claims happen in your ZIP code area.
- Big cities (e.g., Berlin, Frankfurt) usually have higher risk classes than rural towns.
2. Vehicle Type Class (Typklasse)
- Based on how often your specific car model is involved in accidents or theft.
- A small city car or Volvo station wagon may cost less than a luxury SUV or sports car.
💡 Think of it like this: more accidents = higher risk = higher insurance cost.
✅ Summary
| Insurance Type | What It Covers | Who It’s For |
|---|---|---|
| Liability | Damage you cause to others | Required by law |
| Teilkasko | Theft, fire, glass, weather, animals | Older cars, value-conscious drivers |
| Vollkasko | Includes Teilkasko + your own car damage | New or financed cars |
📲 Need Help Finding the Right Car Insurance?
We help expats compare top providers in English and get fair conditions – no hidden costs, no language barriers.
👉 Just send us a message with your car type, ZIP code, and driving experience – we’ll help you get started.
