Normally, if you want to change your car insurance in Germany, you must let your insurance provider know at least one month before the end of the year – either before or on 30 November. But if you missed this deadline, you may still be able to switch providers.
Special right of termination if car insurance premiums increase
German motoring association ADAC has issued a reminder that many drivers in Germany may still be able to switch to a new car insurance provider in the new year, even if they missed the November 30 deadline for ending their contract.
This is because, if your insurance provider has increased your premium for next year, a special right of termination applies, giving customers an extra month to switch to a new provider. This applies to third party, partial and comprehensive car insurance if the premium has increased without the scope of service increasing, or if a changed vehicle type or regional class has resulted in the fee increasing.
If you have an existing car insurance policy, you should have already received a notice from your provider (usually in the post) detailing your premium breakdown for next year. You have one month after receiving this letter to request a written termination, citing the fee increase as the reason.
Drivers in Germany looking to switch insurers as costs rise
According to ADAC, every third driver in Germany is thinking about changing their insurance provider this year, as the cost of living crisis continues to bite and people look for places where they can save.
The cost of car insurance rises every year in Germany, as does everything related to driving – from fuel and motor vehicle taxes to car parts and technical inspections. The General Association of Insurers (GDV) recently announced that the price of auto parts has increased by more than 55 percent since 2013, and 8 percent in the last year alone, while the price of fuel will reach its highest level ever in 2022 .
According to ADAC, if you are considering switching insurers, it is important to compare not only the costs but also the level of cover offered by different providers. Opting for a higher excess in exchange for lower premiums may seem tempting, but it’s important to make sure you have enough cash in your bank account to cover the full amount in case you do need to make a claim.