What does landlord insurance cover 1

Landlord legal protection insurance comparison

Does the conclusion of a landlord's legal protection make sense?

The relationship between tenant and landlord offers a lot of potential for conflict. Whether rent nomads, missing rent payments, outstanding deposit payments or inconsistencies in utility bills, legal protection for landlords makes sense. Contractually agreed repairs and renovations that the tenant does not undertake can quickly become points of contention.

While many tenants can fall back on housing or tenancy legal protection in the event of differences of opinion, landlords of apartments, houses or commercial units have often not concluded a suitable contract. Here, landlord legal protection insurance starts right away € 5.18 per month and thus protect you from the cost risk of expensive and lengthy court hearings. Because should something actually happen or you should get into a dispute with a tenant, the authority or the municipality, they will usually cover all costs and you can therefore calmly face the disputes.

How high the costs can be depends on the amount in dispute. Let's assume there is an eviction action because your tenant does not pay the installments or always only pays them late. The basis for the calculation is the annual basic rent. So if your tenant pays € 800 a month, the amount in dispute in this case would be € 9,600. You can see how high the process costs are here:

1st instance: € 4,997.63
2nd instance: € 10,200.93
3rd instance: € 17,131.55

You can also use this process cost calculator to calculate your possible expenses yourself online.

Without suitable landlord legal protection, you will have to pay for these expenses yourself or you will not have to enforce your claims due to the high cost risk. In any case, you would be left at your own expense.

Even if you have a good relationship with your tenants and have carefully examined them in their selection, you are not immune from running into a black sheep, a rental nomad for example. Plus, a tenant's economic situation can change surprisingly, and you will be drawn into a legal battle over outstanding rents. In addition, landlord legal protection insurance is no longer just about disputes with tenants. We have listed some other typical examples below.

Being right and being right are unfortunately two pairs of shoes in these cases, and in view of changing case law, every process involves a considerable cost risk. The home and landowner's liability insurance only covers a small section, namely those cases in which you want to defend yourself against unjustified claims for damages. In all other cases you bear the risk yourself without landlord legal protection.

In relation to the rental income, the insurance premium is very low, usually in the single-digit percentage range. To renounce your right is much more expensive!

What does legal protection insurance cost for landlords?

Below are a few common cost examples so that you know in advance which contributions will be due. With our landlord legal protection comparison you can make a calculation tailored to your needs quickly and easily online.

Gross annual rent: € 12,000
Tariff: Internet tariff Spezial-N 2021 Plus
Total annual contribution: 117,67 € (SB 250 €)

detached house
Gross annual rent: € 15,000
Tariff: KAB VarioSB
Total annual contribution: 119,00 € (SB 300/150 €)

Multi-family house with 3 residential units
Gross annual rent: WE 1 € 10,000, WE 2 € 8,000, WE 3 € 6,000
Tariff: Internet tariff Spezial-N 2021 Plus
Total annual contribution: 353,02 € (SB 250 €)

Residential and commercial building with 1 commercial unit and 3 residential units
Gross annual rent: GE 1 € 12,000, WE 1 € 8,000, WE 2 € 6,000, WE 3 € 4,000
Tariff: Roland Standard 2021
Total annual contribution: 604.38(SB 250 €)

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What damage or disputes are common?

The hit list of the landlord's legal protection insurance is led by disputes with tenants, be it during the term of the tenancy or when moving out. Here is a selection of the most common issues:

Service charge settlement

The tenant doubts that the billed costs can even be apportioned, or he believes there is a reading error in the heating costs. For this reason, he does not make any additional payment due from the utility bill, or only partially.

rent increase

After an increase in the value of the property through modernization, the landlord can carry out a rent increase and enforce it legally. Lawyers may incur costs if the tenant opposes a rent increase. This is not a problem for a landlord's legal protection insurance.

Rent arrears

The tenant does not pay because he z. B. has no more money for it because of separation from his spouse or life partner or loss of work. However, he may also claim that there are defects in the rental property and therefore reduce the rent or even terminate the contract without notice. However, they are convinced that moisture and mold can be traced back to incorrect ventilation. In case of doubt, a judge has to decide and presumably call in an expert.

Termination and moving out

Your tenant has moved out without giving notice and of course without paying the rent. You notice massive damage in the apartment. Before he disappears and is never to be seen again, file a claim for damages. Or you cancel yourself due to rent arrears or personal needs, but the tenant does not move out.

Eviction action

Eviction actions are very expensive and cost time and nerves. The landlord will certainly get right in court, but the extent to which a titled claim can be enforced is questionable, especially with rented nomads. Eviction actions are a common case for landlord legal protection insurance.

Termination for personal use

A termination for personal use is often a point of contention between tenants and landlords. In order to be legally and financially prepared, a landlord's legal protection insurance is very useful.

Claims for damages against tenants due to damage to rented property

Damage to rented property, damage to the fabric of the apartment, minor repairs that have not been carried out and household and hazardous waste left behind along with worthless junk can result in high costs for the landlord, which must be claimed in court.

Dispute in the community of owners and with authorities

However, it is by no means always the tenant who gives rise to litigation. It is not always peaceful in owner associations. If the majority decides on a modernization measure and a special contribution required for it, which you consider to be absolutely inappropriate, you have to pay or defend yourself. If the building supervision doubts the proper fire protection, for example because a second escape route is allegedly missing, this can be the reason for a process before the administrative court. Incorrectly calculated property tax or what you consider to be an excessive surcharge from the municipality for road construction are further cases for your landlord's legal protection.

Which costs are covered by the landlord's legal protection insurance?

In this point, the landlord's legal protection does not differ from other types of legal protection insurance contracts. As part of the sum insured, which is even unlimited for many tariffs, the following types of costs in particular are covered:

  • Attorney fees from your own attorney
  • Expenses for the opposing lawyer, insofar as you are obliged to reimburse
  • Court costs
  • Compensation for witnesses and experts in court

The assumption of costs applies in principle to advice and legal prosecution in all legally regulated proceedings, usually also for mediation. In the event of imminent imprisonment, the legal protection insurer also provides a bail in the form of an interest-free loan.

Which services are offered as additional services?

Insurance that "only" helps with money no longer has a chance today. Customers rightly expect practical support in the event of a claim. This is especially true in legal matters that are often difficult to understand for laypeople. The landlord's legal protection usually offers a telephone hotline for initial legal advice. This benefits the insured twice as, in addition to providing quick help, it also saves the legal expenses insurer costs, and this has a positive effect on the premiums to be paid. It is the same with mediation, i.e. the out-of-court settlement of conflicts, the costs of which are usually included in the insurance cover.

The legal protection insurance does not restrict the central procedural law of the free choice of lawyer in any way. It is even expressly confirmed in the Insurance Contract Act (Section 127 VVG). Nevertheless, many insured persons are grateful if the insurer can recommend a lawyer who is competent in the required area of ​​law. This is also a service provided by the legal protection insurance. If the customer follows the recommendation, this is even rewarded in some tariffs, for example by reducing the deductible.

Isn't a private legal protection insurance sufficient here?

No! Ordinary private legal protection insurance also applies to house and apartment, but only to real estate that you live in. Since the legal situation for the landlord is completely different and thus the risk of a dispute is significantly higher, the insurance premium is calculated completely differently. An independent landlord's legal protection ensures that everyone only pays for their own individual risk of litigation.

Take out private and landlord legal protection together or separately?

Many insurers offer attractive bundle discounts when several legal protection modules are combined in one contract. Despite this advantage, a better price-performance ratio can usually be achieved by choosing different providers and thus separate contracts for private and landlord legal protection. We would be happy to work with you to find the best possible products for which you do not have to compromise on the scope of coverage.

In addition to optimizing insurance coverage, there are two other important arguments: A combined policy with a uniform contribution causes problems in the tax return if the individual components are to be assigned to different types of income. The contributions for the landlord's legal protection are deducted from the rental income, but labor legal protection is part of the income-related expenses for income from non-self-employed work. Separate contribution invoices are much easier to assign in accounting. And if a legal area is noticeable negatively due to an accumulation of claims at the insurer, the entire contract is not immediately affected by restructuring measures in the form of premium increases, deductibles without premium reductions and, in extreme cases, even termination.

Advantages and disadvantages of a deductible

A deductible in the event of a claim makes landlord legal protection insurance considerably cheaper. Most policyholders save more than the money they would have to pay themselves in the event of a legal dispute. Because the insurer would have disproportionately high costs for claims settlement in small legal protection cases, he can reward the deductible with a discount of up to 70%. In addition, the deductible increases the customer's interest in a cost-effective settlement of the dispute.

Incidentally, you can claim the costs you have borne yourself as well as the contributions to the landlord's legal protection in your tax return by reducing the rental income accordingly.

Our tip: Some contracts stipulate that the deductible is waived when using a telephone consultation by a lawyer of the insurer or in the case of prior mediation. We would be happy to advise you and calculate the difference in contributions for you with and without different types of deductible. Alternatively, you can also take a look at our landlord legal protection insurance comparison yourself.

Landlord legal protection with or without waiting time?

Insurance covers the cost of random events - that is their rationale. Unlike an accident, fire or burglary, possible legal protection cases are often announced beforehand - trouble with a tenant is already in the air, but there is still no concrete reason for a legal dispute. In the interests of affordable premiums for all insured parties, legal expenses insurers must ensure that they do not spend the money on foreseeable insured events. This is why there is usually a waiting period of three months. Services are only provided if the cause of the legal dispute is more than three months after the contract was signed.

So do not hesitate too long when taking out a landlord's legal protection insurance in order to be comprehensively protected in usually three months and no longer endangered by legal and court costs in disputes with tenants.

An important exception is the change of insurer. If the new contract follows on from a canceled insurance policy, the new landlord's legal protection is offered without waiting.

Do all units in a property have to be insured?

If you rent out several houses or commercial properties, you can choose whether you want to take out landlord legal protection insurance for all or only for selected properties. Complete protection is always recommended. The situation is different if you have rented out several units (e.g. apartments, offices or shops) in the same property. Usually, you need to include all of your units in the contract, even if they are empty or used by yourself. There are only exceptions to this rule in a few tariffs.

The complete insurance makes sense, because legal protection cases are certainly conceivable that do not specifically relate to a residential unit. These are, for example, disputes with a building authority or the tax office.

Why a landlord legal protection insurance comparison is worthwhile

Legal protection insurance may only be offered in Germany by specialized companies. At least the service processing must be outsourced. This is stipulated by German supervisory law in order to avoid conflicts of interest - for example in disputes over insurance contracts. Nevertheless, there are a large number of providers with an even wider range of different contracts. Online comparisons have rightly caught on in many areas of financial services. We have also implemented this principle for the type of contract: In our comparison of landlord legal protection insurance, you specify a few basic data such as the number of units to be insured and the rental value. In a clear table, the sum insured, term, deductible, possible restrictions or expansions in the scope of services and of course the annual premium can be compared at a glance and thus save money!

We rate the performance with a percentage, the best provider in the field receives 100%. Our tips are specially marked. With a few clicks of the mouse, you can see the detailed performance comparison with all the details of the contracts. You can use the comparison to take out an online deal directly or request further information from us. We are also happy to use our free and non-binding expert advice hotline Tel. (08781) 200995.

What is the significance of the gross annual rent in terms of legal protection for landlords?

In the landlord legal protection comparison one is asked about it, among other things. The gross annual rent is the annual warm rent. The insurers need the sum of the basic rent and ancillary costs as a basis for the premium calculation. From this sum and the number of rented residential or commercial units, they estimated the scope of your business activities as a landlord, the likelihood of litigation and the amount of possible amounts in dispute. However, the contribution does not grow proportionally with the gross annual rent. The number of units to be insured plays a larger role across the board.

Which damages are excluded with a landlord's legal protection insurance?

Like any insurance, the landlord's legal protection also knows some exclusions. They serve the equal treatment of all insured persons and the calculation of a fair, affordable contribution. Here are some examples:

  • The time of the insurance cover is limited to legal protection cases, the cause of which lies after the conclusion of the contract and, if necessary, after the waiting period already explained above. This avoids the insurer having to pay for known damage and thus unnecessarily burdening the community of insured persons.
  • Disputes to defend against claims for damages are the subject of liability insurance, here specifically home and landowner liability.If a passer-by claims to have fallen in front of your rented property because it was not strewn despite the ice, the liability insurance will check the claims and, if necessary, provide passive legal protection if the claims are not justified.
  • Adequate prospect of success is a prerequisite for insurance coverage. An at least equal probability of a favorable judgment is sufficient, says the jurisprudence. If, on the other hand, it is clear that you have acted incorrectly as the landlord, for example an ancillary cost statement was drawn up too late or incorrectly, the insurance company will refuse to assume the costs for a legal dispute. If there are differences of opinion about the chances of success, you can request an arbitration procedure or a casting vote. This also applies to so-called willful proceedings if the legal prosecution costs are out of proportion to the success. The legal protection insurer will not pay a lawyer for a few hundred euros because of the outstanding rent of five euros.

Is a landlord's legal protection tax deductible?

Contributions to legal expenses insurance are not tax deductible as special expenses. However, this usually does not matter, because many taxpayers already exhaust the maximum amounts to be deducted through their social insurance and other insurance policies are therefore not tax-effective.

However, the landlord's legal protection has a positive effect on the tax: it is not allowed to allocate the legal protection contributions to the tenants. The contributions are therefore costs that - as already mentioned above - you can deduct from your rental income, so that the taxable profit is reduced. The same applies to a deductible in the event of a claim.

What is housing and property legal protection?

Legal expenses insurers use this generic term to describe all service packages that have to do with house, apartment or land. For the reasons of fair contributions explained above, a distinction is made between property used by the owner and property rented out to third parties. One component of the private legal protection insurance is sufficient for the self-inhabited property, there it is referred to as housing and property legal protection for tenants and owners, sometimes also as real estate legal protection. Landlords, on the other hand, need the extended variant presented here, landlord legal protection.

Top 5 insurance companies in comparison

In the following overview you will find our top 5 providers in the field of landlord legal protection insurance. We would be happy to give you more information about our current best offers in a personal consultation. Simply contact us without obligation via our free advice hotline: (08781) 200 995!


ConceptIF is a very affordable, yet powerful, special tariff from a German insurer. Compared to other providers, the ConceptIF landlord's legal protection insurance only offers € 300,000 insured sum, but this is completely sufficient for landlord's legal protection. For cost reasons, the contract documents are only sent by email.

Internet tariff SPEZIAL-N:

SPEZIAL-N is a very heavily discounted tariff from a German insurer. As the only provider on the market, the SPEZIAL-N landlord's legal protection insurance has a shorter waiting period of just two months instead of three. Up to € 12,000 gross annual rent, the same premium is always due. With a contract term of three years, you will receive a five percent premium discount.


KAB is a very affordable special tariff from a German insurer. It doesn't matter how high the rental income is, the same premium (flat rate) is always due for your landlord's legal protection insurance. If you choose a lawyer from the Apraxa network, you only have to pay a deductible of € 150 instead of € 300.


ARAG is a large and well-known German provider of various insurance companies. The contributions for the ARAG landlord's legal protection insurance are calculated fairly and on a long-term basis. Up to € 15,000 gross annual rent, the same premium is always due. There is no distinction between commercial and residential units. The ARAG landlord's legal protection insurance is therefore particularly suitable for commercial units that are usually significantly more expensive to insure.


Advocard is a very well-known German provider. The Advocard landlord's legal protection insurance is available from us at special conditions. After two years of no damage, the deductible is reduced by 33 percent; after another two years without damage, there is a further reduction to 33 percent. After 6 claims-free years, the deductible for the Advocard landlord's legal protection insurance is canceled. The amount of rental income is irrelevant for this provider (flat rate). With a contract term of three years, you will receive a 10 percent premium discount.

The landlord's legal protection insurance covers the cost risk that arises for landlords from legal disputes with tenants, owner associations, property managers, authorities and the like at a comparatively low price. It expands the private legal protection insurance to include an important component that is not included there. Liability insurance and landlord legal protection also complement each other perfectly, because liability insurance only takes care of what is known as passive legal protection, while legal protection insurance provides active legal protection. It is advisable - and usually mandatory if there are several rented units - to insure all rented residential and commercial spaces based on their number and the gross rental value. Our comparison calculator and our info hotline support you in choosing the optimal contract.

In summary, it can be said: If you are the landlord or lessor of a property, separate legal protection insurance for the landlord makes sense. This protects you from expensive and protracted disputes with the tenant. So do not hesitate too long and use the free and non-binding comparison for your landlord's legal protection insurance!