Default claims cover for pet owner liability insurance: Comprehensive protection when liable parties are insolvent
13.05.25
3
Minutes
Katrin Straub
Managing Director at nextsure
Your pet is injured by another animal, but its owner cannot pay for the damage? Claims default cover in pet owner liability insurance steps in and protects you from six-figure costs. Find out how this important component works and why it is indispensable for every pet owner.
The topic in brief and concise terms
Claim default cover under pet owner liability insurance steps in when a perpetrator who has injured your animal is unable to pay.
The requirements are usually a known tortfeasor, a final judgment, and an unsuccessful attempt at enforcement.
Look for high sums insured, a low or no minimum claim amount, and cover for damage caused by persons who are not legally liable.
Understanding debtor default cover: your financial lifeline
Claims default cover is an additional add-on to your dog liability insurance or horse liability insurance. It applies when you or your animal are harmed by another animal. If the owner of the animal causing the damage cannot pay, your insurer steps in. This protects you from financial ruin, because veterinary bills can quickly run into four- or five-figure sums. Many animal owners underestimate this risk: there are over 4.7 million uninsured or underinsured people in Germany. Claims default cover closes a critical gap in insurance cover. This underlines the importance of this protection.
Practical examples: When claims default cover in pet owner liability insurance helps in practice
Imagine your dog is bitten by another dog during a walk and needs surgery costing €3,000. The owner of the other dog has no pet liability insurance and is personally insolvent. Without cover for uninsured claims, you would be left to pay these costs yourself. With this protection, your insurance covers the costs upon presentation of an enforceable title. Another example: your horse is injured in a paddock by a strange horse, with treatment costs of €5,000. Here too, cover for uninsured claims applies if the other horse owner cannot pay. Such cases are not uncommon and can affect any pet owner. The sums insured often run to several million euros. These examples show how quickly a financial shortfall can arise without suitable protection.
Important requirements for the benefit to apply
For your insurance to pay under cover for uninsured claims, several conditions usually have to be met. These are crucial for your entitlement:
The person who caused the damage must be known by name. Anonymous perpetrators are usually not covered.
There must be a legally binding title against the person who caused the damage (e.g. a court judgment or a notarised acknowledgement of debt). This officially confirms your claim.
An attempt at enforcement against the person who caused the damage must demonstrably have been unsuccessful. An enforcement report from the bailiff is often required here.
The loss exceeds any agreed minimum amount of damage. This may, for example, be €500 or €2,500.
No other insurance (e.g. the animal health insurance of the person who caused the damage) covers the loss.
The claim must be reported to your own insurer immediately and truthfully.
The exact conditions can vary depending on the insurer and tariff. It is therefore essential to look at the policy conditions of your liability and legal expenses insurance.
Scope of cover and exclusions: What is typically covered?
The claims cover usually covers personal injury, property damage and sometimes financial losses caused to you by third parties. With the claims cover for pet owner liability insurance, this is typically veterinary costs for your injured animal. Compensation for pain and suffering for you as the owner may also be included if, for example, you are injured while trying to separate the animals. The sum insured often corresponds to the overall cover limit of your pet owner liability insurance, which can be several million euros. Some policies even cover damage caused by children lacking legal capacity or by their animals. Look for policies with no minimum claim amount or a low minimum claim amount for optimum protection. However, there are also exclusions you should be aware of.
Typical exclusions from claims cover
Not every claim is covered by claims cover. Common exclusions include:
Damage caused by the perpetrator in the course of professional or commercial activity.
Damage intentionally caused by the perpetrator (although some premium policies include this).
Damage related to war, civil unrest or natural disasters such as earthquakes.
Pure financial losses, unless expressly included.
Legal costs, unless active legal expenses cover is part of the claims cover.
Damage for which another insurance policy (e.g. your own contents insurance for property damage in the home) would be primarily liable to pay.
These exclusions highlight how important it is to check the contract details carefully before taking out a special insurance policy.
Expert depth: Legal foundations and current rulings
The legal basis for claims for damages is found primarily in the German Civil Code (BGB), in particular Section 833 BGB on liability of animal keepers. This provision states that the keeper of an animal is liable for damage caused by the animal – regardless of fault. Claims default cover is a contractual arrangement with your insurer and not a statutory compulsory benefit. Courts regularly confirm the need for an enforceable title and an unsuccessful attempt at enforcement as a condition for benefits under claims default cover. A judgment by Coburg Regional Court (case no. 13 O 150/11) illustrated the liability of a dog owner, even where there was no direct bite attack, but rather a person became startled by the barking dog and fell, causing costs of EUR 6,500. Our expert tip: Always document the course of the damage and witness statements carefully. This will make the subsequent enforcement of your claims much easier. A thorough understanding of the legal situation is of great importance for animal owners, as our article Does a dog have to be insured? explains.
Costs and tariff selection: Finding the right cover
The cost of pet owner liability insurance with uninsured loss cover varies depending on the provider, type of animal (dog or horse), breed and desired sum insured. Often, uninsured loss cover is already included in Comfort or Premium tariffs or can be selected as an additional module for just a few euros per month. A comparison is always worthwhile. Pay attention not only to the price, but above all to the benefits included. A high sum insured of at least ten million euros is recommended. Also check whether there is a minimum claim amount and how high it is – tariffs without a minimum claim amount offer the best protection. A good uninsured loss cover can often be integrated for an extra charge of less than five euros per month. We also answer the question How much does liability insurance cost? in our blog. This ensures that your cover is ideally tailored to your needs.
Distinction from personal liability insurance and other insurance policies
Uninsured loss cover is also available with private liability insurance. However, for damage caused by animals, the specific uninsured loss cover in animal owner liability insurance is responsible. As a rule, your private liability insurance does not cover damage caused by dogs or horses; for this, animal owner liability insurance is essential. Pet health insurance, on the other hand, covers veterinary costs for your own animal, regardless of whether a third party is at fault. It can be a useful addition, but it does not replace uninsured loss cover, as this can also cover other losses (e.g. compensation for pain and suffering for you) and comes into play when someone else would have to pay but cannot. What is important is the interaction of the various insurance policies for seamless protection. More information on this, what liability insurance is needed for, can be found in our blog. Understanding the differences will help you choose the right policies for your situation.
As a digital insurance portal, our mission at nextsure is to offer you tailored and easy-to-understand insurance solutions. The claims default cover for pet owner liability is a prime example of how important specialist protection can be. We help you find the policy that is ideally suited to you and your pet, while paying attention to all relevant details such as cover limits, minimum claim amounts and any exclusions. Our experts know the pitfalls and understand what matters, so that you are not left out in the cold in an emergency. Benefit from our expertise and fully digital advice. We analyse your individual situation and show you how you can optimally protect yourself and your four-legged companion, even if the dog liability insurance does not pay out. Contact us for a personalised risk analysis.
Request your personalised risk analysis now: Have your insurance situation checked free of charge and receive specific recommendations for improvement.
More useful links
Wikipedia provides comprehensive information on third-party liability insurance for pet owners in Germany.
On Gesetze im Internet you can find the exact wording of Section 833 of the German Civil Code (BGB) on liability for damage caused by animals.
FAQ
Why is claims default cover so important for pet owners?
It protects you from high financial burdens if your animal is harmed by another animal and the responsible owner cannot pay for the damage. The number of people who are not insured or are insufficiently insured is considerable.
What requirements must be met for the claims default cover to pay out?
Typically, the wrongdoer must be known, there must be an enforceable final judgment against them, and an attempt at compulsory enforcement must have failed. There is often also a minimum amount of damage.
Does uninsured loss cover also cover damage that occurs abroad?
This depends on the respective plan. Good plans also offer cover for damage abroad. Check this in your insurance terms and conditions.
Is there a minimum claim amount for claims default cover?
Yes, many policies stipulate a minimum claim amount, for example €2,500. However, there are also policies without a minimum claim amount or with a lower minimum claim amount.
What is the difference compared with the standard cover of pet owner liability insurance?
The standard pet owner liability insurance pays if your animal causes damage to third parties. The claims default cover pays if you or your animal suffer damage caused by third parties (or their animals) and those third parties are unable to pay.
Are damages caused by the wrongdoer's intentional actions also covered?
In basic plans, intentionally caused damage is often excluded. Some premium plans, however, can also provide cover here.
