International Liability Insurance After Leaving Germany

Personal liability insurance protects you from financially ruinous damage claims. In Germany almost everyone has it — not because it is mandatory, but because the risk is real. The moment you deregister and live abroad permanently, your German Privathaftpflicht usually stops covering you. And without a replacement, you are personally liable for damage you cause — under § 823 of the German Civil Code, with your entire assets, worldwide, with no upper limit.

We have supported over 40,000 people through deregistration since 2014, and a liability gap is one of the most common — and most expensive — things expats overlook. This guide explains what international liability insurance covers, how much you need, what it costs, and how to pick a policy that does not require a German address.

At a glance

• International personal liability insurance covers you worldwide, with no German residence required.
• Recommended cover: at least 10 million euro; for the USA or Canada, 50 million euro.
• Cost: roughly 5–30 euro per month, depending on the policy and destination.
• It covers personal injury, property and financial damage — including tenant damage (Mietschäden) and uncollectible-claim cover (Forderungsausfall).
• A German Privathaftpflicht typically covers stays abroad for a limited time only (often max. 12 months) — not permanent emigration.
• Independent advice through grenzenlos sicher (ad) is free for you.

Why your German policy stops working

Most German liability policies cover temporary stays abroad — a holiday, a semester, a work assignment — usually for up to 12 months. They are written for someone whose life is centred in Germany. Once you deregister and your centre of life is abroad, you fall outside the policy's design. Some insurers cancel; others simply decline to pay when the claim is filed from a foreign address.

The legal exposure does not go away when the cover does. § 823 (1) BGB makes you liable for damage you cause negligently — and that liability is unlimited and applies wherever the damage happens. Abroad, local law stacks on top: US courts in particular hand down damages in the hundreds of thousands or millions, including "pain and suffering" awards that have no German equivalent.

"Anyone who deregisters and assumes their old liability policy just carries on is carrying a financial risk that is wildly out of proportion to the premium of an international policy." — Oliver Frankfurth

Three real claims

1. Cycling accident, Spain. A German early-retiree knocks down a pedestrian with an e-bike. She fractures her pelvis and wrist, three weeks in hospital. Treatment + compensation + lost earnings: around EUR 80,000. His old German policy had lapsed three months earlier with his deregistration. Without international cover, that comes out of his own pocket.

2. Water damage, Lisbon. A family of four has rented a flat for 14 months. The older son leaves the bath running; three floors flood. Repair and damages: around EUR 25,000. Their international policy covered tenant damage and paid everything bar a EUR 500 excess.

3. Dog bite, California. A digital nomad's Labrador bites a jogger on the beach, leaving a scar. The claim lands in a Californian court: damages, legal costs and pain-and-suffering together around USD 250,000. The international policy — with USA inclusion and 50 million euro cover — paid the lot.

The lesson: damage abroad is often more expensive than in Germany, and the cover sum decides whether a single accident is an inconvenience or the end of your financial life.

What to look for when comparing policies

EU vs. non-EU destinations

Inside the EU your exposure is closer to the German baseline, but a German domestic policy still will not follow you once you are resident abroad — you need a policy written for international residence. Outside the EU, two things change: cover sums need to rise (especially for North America), and you must check that your destination is actually included rather than carved out. Always get confirmation in writing before you rely on a policy.

How to sort it before you go

Arrange your international liability cover before you cancel the German one, so there is no gap on the day you deregister. Independent advice is the fastest route — providers with an expat focus (Die Bayerische, Hanse Merkur, BDAE, among others) write policies specifically for people without a German address.

You can get a free, independent comparison through our partner grenzenlos sicher (ad) — the same channel many of our customers use for international health insurance when they leave.

Frequently asked questions

Related: International health insurance after leaving Germany · How to cancel your contracts · Leaving Germany checklist