What types of accident and liability insurance can I claim?
Deductible liability insurance includes:
- Personal liability insurance
- Motor vehicle liability insurance
- Dog liability insurance
- Land liability insurance
- Property owner liability insurance
Accident insurance includes not only the actual accident insurance but also passenger insurance, child accident insurance, and travel accident insurance. It does not matter who is covered by the accident insurance. What is important is that you are the policyholder and pay the premiums. The tax office also requires proof of payments. Contributions to accident insurance can be claimed if these insurances only cover private risks. Insurances that cover both private and professional risks can be declared half as special expenses and half as income-related expenses or business expenses.
Term life insurance can also be declared, as well as contributions to widow's/orphan's pensions and funeral expenses. The contributions are considered as special expenses in the tax return. However, these contributions are only recognised if the deductible maximum amount of 1.900 Euro for employees and pensioners and 2.800 Euro for self-employed persons has not yet been exhausted with contributions to basic health and nursing care insurance.
Be sure to include these insurance contributions in your tax return. Lohnsteuer kompakt automatically checks for you whether you have already reached the maximum amount or if additional contributions can still be claimed.
Legal protection and household insurance are not considered special expenses.
What types of accident and liability insurance can I claim?
Which insurance policies can I partially deduct as income-related expenses?
Insurance premiums can be deducted as special expenses under "other pension expenses", with the maximum deductible amount limited to 1.900 Euro or 2.800 Euro, provided this amount has not already been exhausted by contributions to health and nursing care insurance.
However, there is a way to claim certain insurance premiums at least partially as income-related expenses. This applies to insurance policies that cover a professional risk, namely:
- Accident insurance,
- Liability insurance,
- Legal expenses insurance.
(1) Accident insurance
For simplicity, you can deduct 50% of the accident insurance premiums as income-related expenses and 50% as special expenses. Simply include the premium invoice with your tax return. A certificate from the insurance company regarding the division of the premium into professional and private risks is not required here.
(2) Liability insurance
Premiums for professional liability insurance are fully deductible as income-related expenses. If you have professional liability insurance combined with private liability insurance, you should split the insurance premium into income-related expenses and special expenses. For this, you need a statement from the insurance company indicating which portion of the total premium relates to the professional sphere according to their calculation.
(3) Legal expenses insurance
Family legal expenses insurance covers not only private risks but also professional risks, particularly employment legal protection. Have this portion certified by the insurance company and claim it as income-related expenses.
Which insurance policies can I partially deduct as income-related expenses?
How do I claim contributions to accident insurance as income-related expenses?
An accident insurance policy covering all accidents in daily life includes both private and occupational risks. Therefore, the insurance premiums can be partially deducted as business expenses and partially as special expenses. For simplicity, you can deduct 50% of the accident insurance premiums as business expenses and 50% as special expenses.
Simply include the premium invoice with your tax return. A certificate from the insurance company detailing the division of the premium between occupational and private risks is not required (BMF letter dated 28.10.2009, BStBl. 2009 I p. 1275, para. 1.3).
However, if you are engaged in a hazardous occupation and the occupational risk share is greater than 50%, you should have this certified by the insurance company. You should then attach this certificate to your tax return and claim the higher occupational share as business expenses. If in doubt, ask your insurance company.
How do I claim contributions to accident insurance as income-related expenses?
