Residential building insurance is a MUST for homeowners. There is no discussion here either!

When a storm moves through the country again, it happened quickly: the storm sweeps a brick from the roof or windows go through flying branches to break. In many such cases, building insurance pays for such damage and many other risks can be covered.

The so-called related residential building insurance consists essentially of the following parts:

  • a fire,
  • tap water and a
  • Storm insurance

This will cover the costs of these risks – namely repair, reconstruction and new construction.

An important point: it is also only paid for the damage that affects the building itself, or parts that are firmly connected to the insured house.

An example here would be a fitted kitchen or a fixed floor.

But everything that “stands around almost loosely” in the apartment and would fall out if you put the house upside down is not insured in the residential building insurance. These things would then require household insurance.

Who should take out building insurance

There is no obligation in Germany for homeowners to take out residential building insurance. However, for many people, a house or own apartment is the biggest investment of their lives. There is a lot of money in this property. And that is precisely why you should cover them with residential building insurance.

Residential property insurance also plays a role in condominiums. However, this does not have to be concluded by the owner of the apartment himself, but this usually takes place through the homeowners’ association, which then takes out the residential building insurance.

In the past, there was only the so-called fire insurance. This was even partly compulsory. If you still have such an “old” insurance, you should quickly switch it to a connected residential building insurance, so that you are also protected against tap water and storms and not just against fire.

What exactly is insured

The building insurance pays for any damage to the house and fixed inventory. These include, for example, heating systems, bathtubs and fixed floors. As a connected residential building insurance, the already mentioned risks (fire, storm, tap water) are then covered.

Fire insurance

This part of the residential building insurance pays for damage to the house caused by fire, lightning, explosion and implosion. The insurance also applies, for example, to fixed electrical installations.

IMPORTANT TO KNOW: Smoke detector is necessary

A smoke detector is mandatory. The building regulations of most federal states also stipulate that smoke detectors must be installed in dormitories, children’s rooms and corridors. If the smoke detectors are missing, then in the event of an insured event you will remain sitting on the damage incurred and will not receive any benefit.

Tap water insurance

The included tap water insurance pays for damage caused by tap water, frost and other breakage damage. So if, for example, calcareous water or frost breaks the pipes in the house, the residential building insurance pays.

Storm insurance

This part of the residential building insurance pays for storm damage from wind strength 8 and hail damage. If, for example, the storm tears down the entire roof of the house, the housing insurance company pays the damage. The insurance also covers additional consequential damages. Example: It then rains through the covered roof.

What else is insured?

The residential building insurance also pays if there are burglary losses. Some tariffs also pay for vandalism damage, e.g. the removal of graffiti, but then not possibly following painting works. Sometimes damage from missiles, fallen trees, smoke and arson are also insured. You should therefore also carefully consider what risks might occur in your residential region or have occurred more often in the past and choose your residential building tariff accordingly.

What is not insured?

  • Rough negligence – If you cause damage through gross negligence or even intentionally, the residential building insurance usually does not pay. Example: You forget to heat enough in winter and therefore a water pipe breaks. This would then be uninsured. If you want to have gross negligence insured, then you have to choose the tariff accordingly – this inclusion would also definitely be recommended.
  • Water – The tap water insurance in residential building insurance does not cover groundwater damage, flooding and weather-related backlogs. Even water that has leaked from an aquarium does not count as tap water and any damage incurred would not be covered by the residential building insurance.
  • Fire – The included fire insurance does not pay in case of fire or other fires of objects that you deliberately light. Housing insurance also does not cover surge damage.
  • Storm strength – Storm insurance does not pay if the damage occurred during a storm strength below 8.
  • Unfinished buildings – The insurance company also does not pay before the completion of a building. During construction, a so-called
    fire-shell construction insurance
    can help here. This can then be converted into residential building insurance at a later time. To do so, simply contact the insurer.
  • War – War damage or consequences of internal unrest does not replace the insurance either.
  • Window – Storm insurance does not step in if open or leaky windows cause damage.

What else could you insure?

Your residential building insurance can be extended by additional building blocks. This includes, for example,
the elementary damage insurance,
which pays for various damages caused by severe weather. Elementary damage insurance is particularly recommended for houses that are located in high-risk areas. You should definitely check this – in many cases this additional insurance can make sense.

How is the insured amount calculated?

As a rule, the new value of the building is insured — i.e. the amount of money that would be needed to rebuild the house in the same size and equipment at the current time.

  • Residential area tariff
    – In the so-called residential area tariff, the insurance sum refers to the size of the house and the existing equipment. If the insured event occurs, the insurance company then pays the costs in the amount of the local new construction value. There is no insurance sum, but a maximum compensation limit. However, this is not adapted to the development of construction costs. As a result, you may be underinsured years after the building of the house due to increased construction costs.

  • Value reports
    – Another possibility is that an expert estimates the value of the building. However, this can be very expensive. In addition, this report often refers to the market value of the building. More important, however, are the costs of reconstruction.
  • Moving new value – Due to the so-called moving new value, the insurance sum in building insurance is adjusted to the performance of the building. This works with the fictitious value 1914. This is the price (in Mark) that the construction of the house in 1914 would theoretically have cost. This is calculated by dividing the new value of the house by the so-called building price index. As a result, the insured sum is adjusted annually. Only in this way will the insurance cover the original condition for the complete new building of the house even years after the construction. This type of degree would therefore be recommended, so you will never be underinsured.

A subinsurance waiver can also be helpful. In doing so, the insurer refrains from claiming at all that you may be underinsured in the event of a claim. Also really useful.

How much does building insurance cost?

As with almost every insurance company, there are no flat-rate prices here. Depending on the size of the house or the amount insured, the prices may vary.

The following also applies to this insurance: Always compare your existing fare, whether there may be cheaper alternatives.

Our above online comparison calculator helps.

Especially if your fare is already very old, it may be very expensive. So here too: Compare and possibly change!

BUT: Performance takes a price! There are reasons that a tariff is very cheap, usually important safeguards are missing. Therefore, always compare the services first and then search for the cheapest fare.

My recommendation on the basis of the building block
“Advanced Pension”

The“Domcura TOP Market Guarantee”tariff

I also recommend extended pension provision for private liability insurance, among other things. It provides virtually the best possible insurance cover in the long term.

This is what the insurance company pays for

The residential building insurance covers the repair, repair, reconstruction and new construction of the house. The cost of clearing the rubble, cleaning up and demolishing the house may also be included. Because large sums can be incurred, the tariff should necessarily cover these costs, preferably through unlimited insurance costs.

Most rates also pay for the overnight stay in the hotel if the house is uninhabitable, e.g. by a fire. This is particularly important, for example, for larger families who cannot stay with relatives or friends in an emergency. The insurer also pays for any rental losses – if co-insured.

Another important note:

  • Always report changes – you should always notify the insurer of changes to the house. For example, new conversions or additions. The other use of rooms, e.g. An office that is suddenly used as a children’s room

What to do in case of damage?

In the event of damage, there is always a dispute about regulation with the residential building insurance. As already mentioned in the video:

Document the damage to the building very accurately with photos and a written report, witnesses can not harm. A damage report to the insurer is also necessary, which will probably also send a separate assessor by.

You must also take emergency measures to avert consequential damage. This includes, for example, turning the main tap of the water pipe in case of tap water damage. Important: do not carry out any repairs on their own.

If you have to repair any damage before the report is prepared, because otherwise the house would be uninhabitable, please contact the insurer. Also, document how to repair the damage and keep bills from craftsmen. If you dispose of damaged parts, the same applies here.

In summary:

  • Residential building insurance covers damage to the house caused by storms, hail, fire or tap water. It is a must for homeowners. It pays the cost of repairing or rebuilding the house.
  • The insurance does not apply to elemental damage such as floods or landslides. Especially if your house is on the water or slope, you should try to take out an elementary damage insurance.
  • Prices and benefits differ significantly for residential building insurance. Therefore, always compare the tariffs in advance – for example with our above calculator.
  • Check your old home insurance to see if it offers comprehensive protection and compare it to the offers on my site. Here we have computers with a very wide range of insurers.