Household insurance

The household insurance (to put it simply : household insurance ) is a property insurance . It offers insurance protection for inventory , i.e. for furnishings, everyday items and consumables of a private household ( household effects ) against fire , tap water , storms , hail , burglary , robbery and vandalism .

General

In addition to pure property damage , expenses such as clean-up costs, protection costs and hotel costs are also insured. In addition, other inclusions are possible, such as the theft of bicycles or the coverage of natural hazards and surge damage . Possible deductibles must be taken into account.

It is common to insure household items at their replacement value : the insurer reimburses the costs of getting items of the same type and quality in a new condition. Household contents insurance is a linked property insurance. This means that the individual insured risks can only be concluded in combination and only the entire contract can be terminated. In contrast, there is bundled insurance. These are common in trade and industrial insurance in order to insure individual risks such as burglary or tap water.

Germany

The provisions on property insurance in the Insurance Contract Act (Section 88 ff. VVG) apply in principle. Household contents insurance was offered for the first time in 1942 as an independent insurance class based on the VHB 42 tariff. In 1966, 1974, 1984, 1992, 1997, 2000, 2004, 2008 and 2010 the general household insurance conditions were revised.

description

Household contents insurance protects the policyholder's movable property, which is at least predominantly privately used, against the risks listed above, which could result in destruction, damage or loss. To put it clearly, almost all movable items in the policyholder's household are insured through household insurance. This includes, for example, furniture , household electronics, clothing as well as food and bicycles. Strictly speaking, they do not belong to the household effects, but are also included in the insurance terms and conditions, such as personal computers, folders and dictation machines, but not merchandise and sample collections. It does not include items used for work that are in a study that has its own entrance and is not accessible via the apartment entrance.

Corresponding exclusions are always justified if the items are to be assigned to another insurance group or if coverage is already in place through another insurance contract.

The place of insurance is the customer's apartment specified in the insurance policy ( policy ). In addition to the actual apartment, this also includes terraces , balconies and loggias . The place of insurance is also shared rooms in an apartment building, for example parking spaces for bicycles in the hallway or laundry room. Mostly household effects that are stored in outbuildings on the same property are also insured. Garages that are in the immediate vicinity of the insurance location are the same as the apartment. According to the prevailing opinion, immediate is a distance from which regular monitoring of the garage is still possible. This can lead to very different results in individual cases: A garage in a large residential complex about 200 meters away from an apartment can still be classified under the concept of proximity, a garage 100 meters away that is separated from the apartment by a street and a commercial enterprise is no longer to be classified as close.

Not only the household effects of the policyholder are insured, but also those of all persons living with them in the same household, such as spouses or children, but not tenants and sub-tenants.

As part of the external insurance, the place of insurance mentioned in the policy is partially extended and personal belongings that are temporarily (not permanently) in a holiday home, for example, are also insured within the framework of the respective insurance contract. The external insurance is valid worldwide and for a period of mostly three months. However, it should be noted that if a trip is planned for four months in advance, there is no insurance cover for the first three months either.

If the policyholder's children move into their own apartment as part of their training / study / military or community service, items there are also insured until the end of their training . However, if you set up your own household and there is no longer any intention of returning to your parents' home at a later date, the insurance cover will not apply. In addition, the general compensation limits for external insurance must be observed here.

When moving, the insurance cover is temporarily extended to both the old and new apartment of the policyholder, usually for three months from the start of the move. The move is notifiable. Damage on transport routes is also considered to be insured if it was caused by one of the insured risks. Most companies only insure removals within Germany; if you move abroad, the insurance cover ends at the national border. When moving, it is irrelevant where the policyholder is registered, it depends on where he lives. The insurance cover can therefore also be transferred to a new apartment if the policyholder moves to another city for professional reasons, but only takes a few items for personal hygiene etc. with him. Insofar as the old apartment remains the property of the policyholder, insurance cover no longer applies three months after the start of the move. Similar regulations apply to the separation of spouses . The exact scope of this regulation differs from insurer to insurer.

Special compensation limits apply in household insurance for so-called valuables. This includes cash, bank accounts, jewelry, postage stamps, furs, paintings, antiques (objects over 100 years old with the exception of furniture) and objects made of gold and silver. A general compensation limit of usually 20% is initially provided for these items, but this varies depending on the insurance company and can also be extended. In addition, there are special compensation limits for individual categories of valuables if they are not in safes. For many companies, the limit for cash is then, for example, 1000 euros.

The home contents insurance premium is based on the sum insured, the individual inclusions and the location of the insured rooms (burglary / storm / flood tariff zone). Many insurers use a rule of thumb to calculate the sum insured using the living space (“square meter model”). However, this living space must be differentiated from the living space of a rental agreement. For example, balconies and terraces are not taken into account in terms of the actuarial living space. An alternative to the square meter model is to determine the sum insured using a "sum insured model".

As in all insurance lines, it is important to correctly determine the sum insured. If the actual value of the contents is higher than the agreed sum insured, there will be underinsurance , which will have a detrimental effect in the event of damage. This means that, for example, with household items worth 80,000 euros and insurance coverage of 50,000 euros, the insurance only ever covers 5/8 of the damage, max. 50,000 euros (compensation = damage × sum insured / insured value) paid. Almost all insurers are willing to generally forego this so-called "plea of ​​underinsurance" in the event of damage if the customer is willing to take out a fixed sum insured per square meter of living space - usually 650 euros / m² of living space ( waiver of underinsurance ). Some providers generally offer the waiver of the underinsurance objection without any special requirements. This guarantees the customer the actual replacement up to the amount of the insured sum plus a possible provision, usually 10% of the insured sum, but in the case of very large apartments it can also quickly lead to undesirable overinsurance .

Scope of services

Insured risks

Insured risk	Subcategories	Explanation
Fire	fire	Fire is a fire that originated or without a proper stove has left him and that is able to spread on its own.
	lightning strike	Lightning strike is the immediate impact of lightning on things. Short-circuit and overvoltage damage to electrical equipment is only insured if lightning strikes the insured property directly.
	explosion	An explosion is a sudden expression of force caused by the expansion of gases or vapors.
	implosion	Implosion is the sudden destruction of a hollow body by external overpressure as a result of an internal negative pressure.
	Impact or crash of an aircraft	There is no definition in the model conditions. Aircraft are vehicles that are listed in the Aviation Act.
tap water	tap water	Tap water is water that has leaked improperly from certain sources.
	Frost and other breakage damage	There is no definition in the model conditions.
Storm and hail	Storm	Storm is a weather-related air movement of at least wind force 8 (wind speed at least 63 km / hour).
	hail	There is no definition of hail in the model terms; the risk of hail is insured without limitation regardless of the extent (e.g. grain size).
Burglary	Burglary	Entering, breaking into or breaking into a room in a building with the help of the wrong keys or tools.
	robbery	Use or threat of force to eliminate resistance to the removal of insured items; Removal of insured items while the policyholder, through no fault of their own, is unable to resist (for example in the event of fainting or a heart attack)
vandalism	vandalism	Vandalism occurs when the perpetrator intrudes into the place of insurance and deliberately destroys or damages insured property.

Individual companies offer their customers extensions to the insured risks, for example for damage caused by civil unrest or vehicle collision.

Insured costs

According to the non-binding association conditions of the GDV, the following costs are insured in the household contents insurance:

costs	Explanation
Cleanup costs	Costs for tidying up insured items as well as removal and disposal
Movement and protection costs	Costs that arise because other items have to be moved to replace and restore insured items
Transport and storage costs	Costs for transport and storage of the insured household items if the apartment can no longer be used and no items can be stored there either.
Lock change costs	Costs for lock changes if keys for the apartment door or safes are lost due to an insured event
Guarding costs	Costs for guarding the insured home if it has become uninhabitable and locking devices and other security measures do not provide adequate protection
Repair costs for building damage	In the case of damage to buildings caused by robbery or burglary or an attempt to do so within the apartment. The same applies to vandalism within the apartment after robbery or burglary.
Costs for provisional measures	Costs for provisional measures to protect insured property.

Many insurance companies offer their customers insurance for additional costs. For example, this includes return travel costs in the event of significant damage, costs for the recovery of electronic data after an insured event or costs for an expert procedure.

Additional clauses

The following clauses can be agreed upon in addition to the contract at the policyholder's request. Extensions of the insurance cover are usually to be paid for with an additional premium.

Excerpt from clauses on household contents insurance that are important in practice, in accordance with the model conditions of the GDV

clause	Explanation
PK 7110 bicycle theft	Insurance cover for simple theft of bicycles, usually limited to 1% of the sum insured, can be increased for an additional premium.
PK 7111 overvoltage	Damage to insured electrical equipment and devices caused by overvoltage, overcurrent and short circuit as a result of lightning or other atmospheric electricity.
PK 7712 No deduction due to underinsurance	No deduction due to underinsurance. For this clause, a certain minimum sum insured per square meter of living space, usually 650 euros, must be selected
PK 7713 Increased compensation limit for external insurance	Increase in the percentage compensation limit.
PK 7812 broker	The broker responsible for the insurance contract is authorized to receive notifications and declarations of intent from the policyholder. He is obliged by the brokerage contract to forward this to the insurer immediately.

Significant exclusions

In order to make the risk for the insurance company calculable and to prevent insurance fraud, in addition to the exclusions generally common in the industry such as war or nuclear energy, various facts are excluded in household insurance :

• Scorch damage: A burn process that cannot spread independently is called scorch damage. This is conceivable , for example, when dropping a sparkler on a carpet. Scorch damage as a result of an insured fire is insured if, for example, a lamp goes up in flames due to a defect and falling sparks burn holes in the carpet.
• Overvoltage damage caused by lightning: This damage to electrical equipment is usually only replaced if lightning caused damage on the property of the insurance location. This exclusion can be waived by agreeing clauses. Some insurance companies have already generally insured this damage.
• Simple theft: In the case of simple theft, the perpetrator does not break into a building or break open a container there. These damages are also excluded from the insurance cover. For example, a thief steals the policyholder's handbag in an unobserved moment while she is dining in a restaurant. Various constellations are discussed in the literature, particularly in connection with the intrusion into a building. For example, burglary is when a thief climbs onto a balcony and takes some things with him from there. Whether a quick grip through an open window is an insured burglary is controversial. Breaking in a motor vehicle on the open road (unlike in a secured underground car park or a secured multi-storey car park) or breaking into a train compartment or a ship's cabin is not considered burglary.
• Trick theft: Particularly important in the case of the insured risk of robbery. In the case of trick theft, the perpetrator takes advantage of an element of surprise so that the policyholder cannot react. This includes, for example, sneaking up and then tearing a handbag from your arm. It is also important that violence should not be the determining element in a trick theft.
• Penetration of rain, hail, snow or dirt through improperly closed windows and doors: In the case of the insured risk of storm / hail, the penetration of water, snow etc. into the insured apartment is only insured if the corresponding openings were caused by the storm. However, if the rain penetrates through a skylight that is not closed or the storm pushes open a door that has not been locked, there is no insurance cover.
• Ingress of moisture due to large amounts of snow: If moisture due to large amounts of snow, e.g. B. occurs on the terrace, the damage is neither a flood nor a snow pressure damage, which is why it is not insured.
• Building components: Items that are classified as building components are not covered by household insurance. This includes, for example, fitted kitchens specially adapted to the policyholder's apartment . Hardly glued parquet floors are also usually part of the building. Building components that are damaged by a break-in or even just by an attempted break-in (e.g. windows, doors) are rated differently. These parts of the building are covered by the contents insurance.
• Household items from tenants or sub-tenants. They have to take out their own insurance for their household effects.

Examples of damage

• Due to a technical defect, a television set ignites and sets parts of the living room on fire. Smoke pollutes other rooms in the insured apartment. During the fire brigade's extinguishing work , almost the entire apartment is flooded. In this case, the household contents insurance reimburses both the damage to the household effects caused directly by the fire and the consequential damage caused by fire smoke and extinguishing water . Any cleaning costs incurred will be reimbursed via the cost item. Damage to the building fabric is covered by a residential building insurance.
• A pipe in the insured home breaks due to corrosion . Leaking tap water damages the carpet and various furniture. A craft company is commissioned to precisely locate the leak . The contents insurance covers damage to the carpet and the furniture as well as the costs of leak location.
• A storm tears away some of the roof tiles and the ingress of rain causes damage to the insured apartment. In this case, the damage to the roof is covered by the building insurance, the moisture damage by the household insurance.
• A perpetrator pried open a window in the apartment and stole some high-quality electronic equipment . The theft is covered by household insurance. Damage to the window is also subject to compensation through the contents insurance.
• In the evening, the policyholder is threatened on the street and forced to surrender his wallet. The household contents insurance reimburses the damage, but the special compensation limits for external insurance and for valuables must be taken into account.
• Because a perpetrator cannot find any valuables after a break-in, he willfully destroys furniture and smears the walls with paint . Here, the home insurance covers both the costs of the damaged household items and the cleaning of the smeared walls.

Rights and obligations

In some cases, home insurance can overlap with other insurances, for example homeowners insurance or luggage insurance. In the latter case, the first insurer that was claimed by the policyholder settles the entire loss. In the internal relationship between the two insurers, the second insurer is then obliged to compensate.

Policyholder obligations

As is usual in the industry, various obligations have been imposed on the policyholder in household insurance . Obligations are lower-level legal obligations, compliance with which the insurer cannot enforce, but non-compliance with which can lead to disadvantages for the policyholder. Violation of this can lead to a reduction in the claims payment or even to the insurance being exempt from benefits. For example, before signing the contract, he is obliged to state all risk-relevant circumstances (obligation to notify) about which the insurer has asked him in writing. In the event of a claim, he must immediately provide the insurance company with all relevant information (obligation to provide information).

A special feature of household insurance is the obligation to heat the apartment adequately in the cold season or to drain water-carrying pipes if you are absent for a longer period of time. This serves to avoid pipe burst damage caused by frost . The policyholder must also report a move in order to give the insurance company the chance of a recalculation for the new apartment.

In the case of exceptionally high sums insured, especially for valuables, the policyholder is often responsible for installing certain security devices such as intrusion alarm systems and keeping them operational.

Acceptance guidelines

In contrast to motor vehicle liability insurance , for example, household insurance is not compulsory . As a result, the insurance companies are not obliged to accept an application. Rather, the individual risk situation of the applicant is used to check whether the insurance company would like to assume the risk.

Applications from known insurance fraudsters are generally rejected. Customers who have had their insurance contract canceled for non-payment of the premium are also likely to run into problems. The individual insurance companies have certain underwriting limits. If the sum insured should exceed this subscription limit, no contract can be concluded. Policyholders who have already reported various claims in the recent past are also usually rejected. Some insurers reject risks if there are risk-increasing establishments such as discos or brothels in the same building . Alternatively, very high premium surcharges are sometimes required.

Some insurance companies still do not provide protection for apartments abroad or for apartments that are uninhabited for a long time. No insurance cover is granted for imminent or already occurring damage.

In the standard tariffs of many insurers, there are also fixed maximum amounts insured. If these are exceeded, the insurer is not able to subscribe. In this case, specialized providers for wealthy customers must be used.

Austria

A household insurance is an insurance and corresponds to a "home insurance" in Germany, where there are some small differences.

general description

The Austrian "household insurance" is the counterpart to the "household insurance" in Germany. It is a property insurance and primarily covers damage to or loss of movable objects in your own living space, e.g. B. Furniture and electrical appliances. It usually includes fire, storm damage, tap water, burglary and glass breakage insurance as standard . However, other risks can be included.

While personal liability insurance is usually taken out separately in Germany, household insurance in Austria is usually a combination of property insurance and private liability insurance.

Liability insurance protects against claims for damages from third parties if the insured person causes property damage or personal injury.

Insured persons

Household insurance not only protects the property of the insured person but also that of family members. These are, for example, spouses, partners and children who live in the same household. Some insurance companies in Austria define their own age limits for children up to which they are included in household insurance.

Local validity

The insured contents of the apartment include the furnishings and everything that is usually for private use or consumption. The cover also includes ancillary rooms or outbuildings such as cellars and attics, outbuildings or the like. This includes in particular stored furniture, tools, gardening equipment, sports equipment, but also strollers, car accessories and food.

Furthermore, the local validity of the household insurance includes communal areas that are not accessible to the public (stairwell, bicycle storage room). In these areas, bicycles (provided they are secured), strollers, garden tools, garden furniture and laundry are usually insured. Most insurance companies in Austria also insure typical items stored outdoors, such as on balconies, terraces or in the garden.

Many household insurances also cover damage to personal effects from burglary that are temporarily stored in a car. However, the car must be locked and the objects must not lie open in the vehicle. Electronic devices are mostly excluded. The insurance also covers items for private use that are temporarily stored in cloakroom lockers (e.g. in swimming pools, fitness clubs, etc.) and that are lost there due to theft.

With some insurances, the contents of the home of studying children at the place of study are insured against the same risks as the contents of the home at the place of insurance. As a rule, however, significantly lower amount limits apply.

Sum insured

In Austria, the new value of the items is usually insured. However, the value of the damaged items must be at least 40% of the replacement value. Otherwise, the insurance only replaces the current value.

Insured risks

Fire insurance covers damage caused by fire, direct lightning strikes, explosions and consequential damage caused by smoke, soot and extinguishing water. Scorch damage, such as can occur when ironing or from burning cigarettes, as well as “indirect lightning damage”, which can cause damage to electrical lines, are generally not insured.

Storm damage insurance covers damage and consequential damage caused by a storm at more than 60 km / h. A distinction must be made here between when the household insurance and when the building insurance pays for damage. An example: If the roof is covered by the storm, the home insurance comes up. However, if this results in damage to the contents of the apartment or household effects, for example through rain, this is generally covered by the household insurance.

The burglary insurance covers damage and consequential damage caused by a break-in and robbery. Burglary occurs when someone has broken into locked premises by force. For valuables, the maximum amount of compensation also depends on the type and security of storage. Therefore, when storing valuables, it is essential to take into account the safekeeping requirements of the insurance company.

In addition, you can include glass breakage insurance in your household insurance. Damage caused by breakage of door and window panes, mirrors, picture and furniture glazing up to a size of 5 m² is covered. This does not include damage caused by scratching or chipping, nor damage to hollow glass, lighting fixtures or special glazing.

literature

Germany

• Henner Schierenbeck: Bank and Insurance Lexicon . Oldenbourg, Munich 1994, ISBN 3-486-22660-6 .
• Horst Dietz: Household contents insurance 84. Conditions, clauses, premium guidelines, insurance technology . 2nd Edition. Verlag Versicherungswirtschaft, Karlsruhe 1988, ISBN 3-88487-154-4 .
• Johannes Wälder: Fire insurance . tape 1 . Gabler, Wiesbaden 2000, ISBN 3-409-92751-4 .
• Anton Martin: Property Insurance Law . 3. Edition. Beck, Munich 1992, ISBN 3-406-33521-7 .
• Stefan Spielmann: Current coverage issues in property insurance . Verlag Versicherungswirtschaft, Karlsruhe 2009, ISBN 978-3-89952-456-7 .

Web links

Wiktionary: Household insurance  - explanations of meanings, word origins, synonyms, translations

Germany

• Sample terms and conditions of the GDV , see section Property and Accident Insurance
• Judgments on household insurance at juraforum.de

Individual evidence

1. ↑ Household insurance . In: wien.arbeiterkammer.at. Retrieved April 5, 2019 . 
2. ↑ ^{a b c d} Household Insurance and Home Ownership Insurance. (No longer available online.) In: konsumentenfragen.at. Archived from the original on October 6, 2013 ; accessed on May 8, 2020 . 
3. ↑ HELP.gv.at accessed on September 16, 2013
4. ↑ durchblicker.at accessed on September 16, 2013
5. ↑ FAQs household insurance. In: vvo.at. Retrieved August 7, 2018 . 
6. ^ AK Vienna , accessed on September 16, 2013.

Please note the information on legal issues!