Insurance for owners: must-have vs. nice-to-have

Insurance is a dime a dozen, even for property owners. But which one do you really need in the end? Do builders need the same insurance as owners of existing properties? Where can owners get help when it comes to the right insurance cover for their property?

Depending on whether a house is under construction, being financed or has already been built, there are insurance policies for every situation that protect owners against unexpected risks. A real estate agent can advise you and work with you to find a good insurer.

Insurance that owners absolutely need

Regardless of whether the dream of owning your own home is only getting closer brick by brick or whether it is an existing property, all owners need this insurance:

• Residential building insuranceThis insurance protects against hail, fire, water damage and storm damage.
• Homeowner and landowner liability: If visitors or passers-by are injured on your own property (even if the paths in front of your property are not gritted), you are well protected against claims for damages. However, this insurance is only suitable for landlords. If you live in your own property, you can cover this damage with personal liability insurance.

Which insurance policies can be useful?

Many homeowners have household contents insurance that pays for the cost of new household items in the event of burglary, fire and weather events such as hail. However, such cover is not worthwhile for everyone. If an owner is unable to replace their destroyed or stolen items without incurring major financial outlay, household contents insurance is recommended. Natural hazards insurance, an extension of homeowners' insurance, can provide effective protection in the event of damage in areas that are more severely affected by major natural disasters such as avalanches, volcanic eruptions or flooding.

Additional insurance that builders need

For builders, builder's liability insurance, builder's risk insurance (only at the start of construction) and fire insurance are a must for the best insurance cover. If you are building without a construction company and friends, family or acquaintances are helping on the building site, we also recommend taking out builder's risk insurance. This insurance is more far-reaching than the statutory accident insurance for construction (BG Bau). There are also various types of insurance for real estate financing. A broker can provide owners with excellent support in their search for the most necessary insurance policies or a good insurer.

Do you have questions about insurance cover for real estate? Or do you have questions about selling or buying a property? Get in touch with us! We will be happy to help you.

Notes

For reasons of better readability, the generic masculine is used in this text. Female and other gender identities are explicitly included where this is necessary for the statement.

Legal notice: This article does not constitute tax or legal advice in individual cases. Please consult a lawyer and/or tax advisor to clarify the facts of your specific individual case.

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