Changing automotive insurance coverage: What drivers ought to take note of | EUROtoday

faq

As of: November 21, 2025 4:32 a.m

Anyone who owns a automotive should count on rising car insurance coverage prices. A change for the brand new yr can due to this fact be worthwhile. What do you have to take note of? And how else are you able to lower your expenses?

Every automotive proprietor wants insurance coverage: motorized vehicle legal responsibility. There can also be voluntary complete insurance coverage, which can be utilized to cowl harm to your personal car. But irrespective of whether or not solely legal responsibility, partial or absolutely complete insurance coverage – drivers should put together for considerably costlier insurance coverage premiums within the coming yr.

According to the comparability portal Verivox, value will increase of a mean of seven % may be anticipated. According to a survey by ADAC Autoversicherung, virtually each second driver in Germany is contemplating altering their car insurance coverage.

Why are contributions growing a lot?

One cause is the sharp enhance in prices for repairs in workshops. According to the General Association of the German Insurance Industry (GDV), insurers pay a mean of 202 euros an hour for work on mechanics, electrical techniques or the physique. According to the Federal Statistical Office, automotive upkeep and repairs grew to become 48 % costlier between 2017 and 2024.

This is because of the elevated costs for spare elements and better labor prices. The insurance coverage firms finally go on the prices of costlier repairs to their prospects.

Why do you have to change insurance coverage?

Because the insurers’ tariffs typically differ significantly. According to the Federal Association of Consumer Organizations (vzbv), there generally is a distinction of some hundred euros between the most affordable and the costliest legal responsibility insurance coverage tariff with partial complete insurance coverage for brand new drivers. In precept, the value additionally varies relying on the place you reside, the age of the driving force, the kind of car and the variety of kilometers pushed – all of which may change through the years.

At the identical time, many suppliers cut back their costs for brand new prospects in the course of the switching season. “When, like now, some insurers lower their prices, it is particularly worth comparing,” explains the insurance coverage knowledgeable on the cash information Finanztip, Kathrin Gotthold. “Especially those who have been loyal to their car insurance for a long time usually pay more.”

However, these must also watch out with low cost entry bonuses. The tariffs are sometimes regularly elevated considerably in the course of the time period – within the hope that the shopper is simply too lazy to modify.

Where are you able to examine?

The comparability is feasible, amongst different issues, on corresponding portals on the Internet. However, shopper advocates level out that portal suppliers typically solely embody chosen insurance coverage firms and tariffs within the comparability. It may due to this fact be worthwhile to inquire about a proposal immediately from the insurer – “online, by telephone or from the agent around the corner,” in accordance with the vzbv.

Until when can I cancel?

Since the insurance coverage yr ends typically on December thirty first and cancellation should normally be submitted to the insurer one month upfront, the changeover season normally runs till November thirtieth. Since this present day falls on a Sunday in 2025, the deadline might be prolonged this time to December 1st.

However, there are additionally contracts the place the insurance coverage yr started at a distinct level within the yr. Insured individuals ought to due to this fact examine the discover interval rigorously. In addition, in accordance with Stiftung Warentest Finanz, termination ought to solely be made as soon as a brand new contract has already been concluded.

What ought to insured folks think about when contemplating a doable change?

Consumer advocates level out that it’s advisable to take an in depth have a look at any clauses with the brand new supplier earlier than concluding the contract. For instance, there are actually suppliers who make excessive downgrades due to harm, which may shortly flip the supposed insurance coverage discount into an costly burden.

In addition to the value, the efficiency and repair must also be in contrast. According to the ADAC, there may be lots of potential for financial savings in relation to motorized vehicle insurance coverage, however ample insurance coverage cowl is “indispensable”. Experts suggest that the sum insured must be round 100 million euros for property harm and eight to fifteen million for private accidents.

Consumer advocates additionally suggest insuring in opposition to gross negligence. Then the insurer additionally pays out within the occasion of an accident for those who ran a purple mild or drove too quick. The clause solely doesn’t apply within the occasion of medicine, drunk driving or when you’ve got left the important thing behind. Otherwise, in relation to complete insurance coverage for a brand new automotive, it’s best to be sure that the insurer pays the brand new worth for so long as doable within the occasion of a complete loss – as much as two years is perfect.

Can you solely lower your expenses by switching?

No. The ADAC factors out that vital financial savings can be achieved by optimizing present contracts. When it involves fee intervals, for instance, it’s least expensive to pay your entire annual quantity upfront fairly than month-to-month or quarterly. This can usually save as much as 5 % of the insurance coverage premium.

Insured events may also profit from the next deductible for partial or absolutely complete insurance coverage and a restriction on the variety of drivers. Significantly cheaper contributions can be doable by so-called telematics tariffs. Driving habits is monitored utilizing a small field within the automotive and a related smartphone app.

A workshop dedication, the place harm to the automotive is repaired within the insurer’s associate workshop, may also have an effect. However, it’s then now not doable to decide on your personal trusted workshop. The variety of kilometers pushed yearly additionally influences the insurance coverage premium.

With info from Till Bücker, ARD monetary editorial crew.