Vehicle Liability Insurance in Germany: What Expats and Newcomers Must Know Before Hitting the Road
Before you can register a car or drive legally in Germany, you must have vehicle liability insurance — known in German as Kfz-Haftpflichtversicherung. This is not just a formality; it’s a legal requirement, and without it, you won’t receive an eVB number or be allowed to register your vehicle at the Zulassungsstelle.
For expats, international students, and newcomers, understanding how liability insurance in Germany works can be confusing, especially if the system in your home country is different. This guide explains everything you need to know — what it covers, how to choose a provider, how it connects to your car registration, and what mistakes to avoid.
What Is Vehicle Liability Insurance in Germany?
Kfz-Haftpflichtversicherung is Germany’s mandatory third-party vehicle insurance. It covers damage you cause to others — including their vehicle, property, or physical injury — while driving your car.
This insurance is:
- Required by law for all motor vehicles
- Tied to your car, not your person (every car must have its own policy)
- Verified digitally using an eVB number during registration
Without valid liability insurance, your car cannot legally be on the road, and you may face heavy fines or even criminal charges for driving without it.
What Does Liability Insurance Cover?
Kfz-Haftpflichtversicherung Covers:
- Damage to other vehicles in an accident caused by you
- Injury or death of other people involved
- Damage to public infrastructure (e.g., guardrails, street signs)
- Legal defense costs if you’re taken to court
Coverage limits are regulated by law. Insurers must offer:
- At least €7.5 million for bodily injury per person
- €1.12 million for property damage
- €50,000 for financial loss
Most insurers offer significantly higher coverage, often up to €100 million total, which is highly recommended.
Kfz-Haftpflichtversicherung Does Not Cover:
- Damage to your own car (use Teilkasko or Vollkasko for that)
- Theft or vandalism of your vehicle
- Injuries to yourself as the driver
- Damage caused when driving under the influence
- Use outside legal or insured purposes (e.g., racing)
Is Vehicle Liability Insurance Mandatory for Everyone?
Yes. It doesn’t matter if you are:
- An EU or non-EU national
- A student, employee, or freelancer
- A long-term resident or short-term expat
If you own or register a car in Germany, you must have valid liability insurance for that vehicle. Even if the car is not driven daily, it must be insured continuously as long as it’s registered.
How to Get Car Liability Insurance
Step 1: Compare Providers
Start by using online platforms like:
- Check24
- Verivox
- Nafi-Auto
- HUK24 (direct insurance)
- CosmosDirekt, Allianz, DEVK, AXA, and others
Read our guide how to pick the best car insurance in Germany.
Compare:
- Monthly premiums
- Annual coverage limits
- Optional upgrades (roadside assistance, legal cover, etc.)
- Policy language (some insurers offer English support)
Note: Prices vary based on age, driving history, vehicle type, parking location, and usage patterns.
Step 2: Provide Personal and Vehicle Data
You’ll be asked for:
- Full name and address (must match your Anmeldung)
- Date of birth and nationality
- German bank account (for SEPA payment)
- Driver’s license info
- Vehicle brand, model, engine size, year
- Intended mileage and parking situation (garage vs. street)
Step 3: Choose Insurance Start Date and Get an eVB Number
Once approved, you’ll receive your eVB number immediately via:
- SMS
- Online dashboard
This number is used when registering your vehicle at the Zulassungsstelle. The policy becomes active as soon as the car is registered.
Types of Coverage Beyond Liability
Partial Coverage (Teilkasko)
Optional add-on that covers:
- Fire and theft
- Vandalism
- Broken glass
- Storm and hail damage
- Wild animal collisions
Teilkasko is ideal for used cars or older vehicles where full coverage may be too costly.
Full Coverage (Vollkasko)
Includes everything in Teilkasko, plus:
- Damage to your own vehicle in an at-fault accident
- Vandalism
- Hit-and-run protection
- Replacement cost for totaled vehicles
Vollkasko is highly recommended for:
- New cars
- Leased or financed vehicles
- High-value cars
How Much Does Car Liability Insurance Cost?
Prices vary widely but start at approximately:
- €25 to €40 per month for liability-only
- €50 to €120 per month with full coverage
Factors influencing cost:
- Age and driving experience
- Type of vehicle
- Annual mileage
- Parking location (private garage vs. public street)
- Deductibles (Selbstbeteiligung)
- Accident history or claims
Expats with no German driving record may initially be placed in a higher risk category, resulting in higher premiums. However, some insurers accept foreign driving experience letters to reduce costs — especially from other EU countries, the UK, US, or Canada.
Insurance for Shared Cars, Leasing, or Company Vehicles
- Leased vehicles: You are still responsible for insurance, even though the leasing company owns the car. Vollkasko is often required.
- Company cars: Typically insured by the employer, but personal use may require a separate agreement.
- Shared car ownership: Only one policy is needed per car, but all regular drivers must be listed on the policy.
What Happens If You Drive Without Liability Insurance?
Driving an uninsured vehicle is illegal in Germany. Penalties include:
- Fines up to €3,000
- Points on your driving record (Flensburg)
- License suspension
- In worst cases, criminal charges or jail time
In accidents, you would be personally liable for all damages, including medical bills — which can reach tens or hundreds of thousands of euros.
Tips for Expats Getting Car Insurance in Germany
- Compare carefully: The cheapest deal may lack essential services like roadside help or English-speaking customer support.
- Use English-speaking brokers: If your German is limited, use international-friendly insurers or consult independent agents who specialize in expat services.
- Bundle policies: Many providers offer discounts if you also insure your home or personal liability with them.
- Ask about no-claims transfer: Some insurers accept driving records from other countries to reduce your premium.
- Recalculate annually: Rates change, and loyalty is rarely rewarded. Shop around every 12 months.
Changing or Cancelling Car Insurance
You can change your insurance provider:
- At the end of the contract term (usually December 31, with one-month notice)
- After a claim
- If premiums rise
To cancel, submit a written notice to your insurer, and confirm receipt. If switching, your new insurer can often handle the transition and send a new eVB number automatically.
Vehicle liability insurance in Germany is not just paperwork — it’s your legal and financial protection on the road. Without it, you can’t register your car or drive. Understanding your options and obligations as a newcomer is essential to staying compliant, safe, and financially protected.
Start with liability coverage, but consider your lifestyle, car value, and driving habits to decide whether Teilkasko or Vollkasko is worth the extra cost. With the right policy, the right provider, and your eVB number in hand, you’ll be ready to register your car and drive legally in Germany — with peace of mind.
