Accidents can happen in the blink of an eye – your child kicks a ball through your neighbour’s window, or you break a vase while visiting a friend. In Germany, you are liable in such cases. In other words, you need to pay for the damage. To prevent this from happening, a liability insurance can be useful. Many Germans regard liability insurance as the most useful and important of the optional types of insurance. In the event of a claim, private liability insurance covers the cost of damages up to a specified amount. It also covers your spouse and children. Liability insurance is available starting at less than 100 euros per year.