Indemnity insurance
- Home contents, buildings, motor, liability
- Prohibition on enrichment: Article 7:960 of the Dutch Civil Code
- The insurer can recover from the party at fault
- The excess and sub-limits apply
'+esc(t.geen)+'
'+acts(j,null)+''+esc(t.noot)+'
';open();return;} panel.innerHTML=res.map(function(r,i){return ''+esc(r.title)+''+esc((r.description||'').slice(0,120))+'';}).join('')+(j.forms&&j.forms.length?''+esc(top.description||'')+'
'+acts(j,top.url)+''+esc(t.noot)+'
'+(more?'Policy · premium · cover
Insurance is a contract under which you pay a premium and the insurer takes over an uncertain risk. Below you can read how that arrangement works in practice.
Deze pagina in het Nederlands: Wat is een verzekering precies?.
Without obligation; a reply within one working day.
The calculator and the quote form below are in Dutch. Prefer to do this in English? Email info@finassverzekert.nl or call 072 - 509 24 56 and we will take it from there.
Work out your own premium with the calculator.
Enter your details; you will receive a proposal within one working day.
A premium indication, not personal advice. Prefer to talk it through? Call 072 - 509 24 56.
Insurance is a agreement: you pay a premium and the insurer takes on a risk that you cannot or do not want to bear yourself. Central to the concept is uncertainty. At the time the contract is taken out it must be uncertain whether, when or up to what amount the event will occur. Damage that has already occurred or is unavoidable therefore cannot be insured, even if you would happily pay the premium.
There are two main forms. With a non-life insurance the insurer pays for the loss actually suffered, up to the sum insured at most. You may not end up better off: that prohibition on enrichment is set out in Article 7:960 of the Dutch Civil Code. If the insurer pays out, it can recover the loss from the party who is liable; this is called subrogation. Under a fixed-sum insurance, such as personal accident or term life insurance, an amount is agreed in advance and is paid as soon as the event occurs, regardless of the actual loss.
The premium is not an arbitrary amount but a price for risk: the insurer estimates the likelihood and size of losses and spreads that burden across all policyholders. On general insurance you also pay 21% insurance premium tax, which is included in the amount on your policy schedule. If you do not pay the premium, the insurer can suspend cover after a reminder: the policy is then still in force, but nothing is paid out. Most private general insurance policies can be cancelled on any day after the first year.
The difference between indemnity and fixed-sum insurance determines how much is paid and whether recovery remains possible.
Pays for the loss actually suffered, up to the sum insured.
Pays an amount agreed in advance as soon as the event occurs.
The policy schedule, the conditions and the clauses together set out the agreement.
What is covered
| Situation | Indemnity insurance | Fixed-sum insurance |
|---|---|---|
| The payment follows the loss actually suffered | Yes | No |
| The amount is fixed in advance in the policy | No | Yes |
| Prohibition on enrichment under Article 7:960 of the Dutch Civil Code | Yes | No |
| The insurer can recover from the party at fault | Yes | No |
| Excess deducted from the payment | Yes | No |
| Payment in addition to compensation from a third party | No | Yes |
Which form your policy takes appears from the conditions; some policies combine both, such as a motor policy with personal accident cover for occupants.
Insurance imposes obligations on both sides; most disputes arise on the policyholder's side.
When you take out the policy, the duty of disclosure under Article 7:928 of the Dutch Civil Code: you answer the insurer's questions truthfully, including the questions about previous claims, refusals and any criminal record. If you withhold something that mattered, the payment can be reduced or lost under Article 7:930 of the Dutch Civil Code. If a loss occurs, you report it as soon as reasonably possible in accordance with Article 7:941 of the Dutch Civil Code, cooperate with the investigation and do what can reasonably be done to limit the loss. And you pay the premium on time: after a reminder, cover can be suspended while the obligation to pay the premium continues.
A number of risks are excluded by definition because they are not uncertain or not insurable. There is no cover for intent or recklessness by the policyholder (Article 7:952 of the Dutch Civil Code), and no cover for damage that at the time the contract was taken out already existed or was unavoidable. Also excluded are wear and tear, ageing, deferred maintenance and construction defects, nuclear reactions and war risks, and fines, penalty payments and criminal sanctions. Also deliberate deception when claiming causes the right to payment to lapse, even if the underlying loss was covered. So insurance takes over risk, not a maintenance backlog and not the consequences of your own choices.
Insurers weigh these details differently. That is why comparing pays off.
Customers rate our service on four aspects: personal service, service delivery, availability and the outcome. The reviews are collected and published by NH1816 and come from customers who have actually taken out a policy with Finass Advies B.V. or reported a claim.
The questions we are asked most often about this.
Indemnity insurance pays for the loss actually suffered, up to the sum insured; you may not end up better off. Fixed-sum insurance pays an amount agreed in advance as soon as the event occurs, regardless of the actual loss. That is why a payment from a personal accident policy can be received alongside compensation from a liable third party, whereas that is not possible with indemnity insurance.
With most private general insurance policies, yes: after the first contract year they can be cancelled on any day, usually with one month's notice. During the first year the agreed term often applies. If the premium goes up or the conditions become less favourable, you may usually cancel mid-term. Only cancel once the new policy has actually been accepted.
The insurer sends a reminder and can then suspend cover. The policy is still in force and you still owe the premium, but losses during that period are not paid. If the arrears are paid, cover usually revives only the following day, and not retrospectively for losses that occurred in the meantime.
Because it has to be able to assess the risk and bases the premium on it. Those questions also define the extent of your duty of disclosure under Article 7:928 of the Dutch Civil Code: you do not have to volunteer everything, but what is asked must be answered truthfully. If an answer is incorrect, that can lead to a reduced payment or no payment when you claim.
Ask for advice without obligation; we compare premium and conditions for your situation.
Prefer to call? 072 - 509 24 56, weekdays 09:00–17:00.
Claim on the road? Emergency line 06 - 55 20 40 72.
Finass Verzekert is a trading name of Finass Advies B.V. We advise on and arrange non-life insurance on the basis of an objective analysis of several insurers, and receive commission for this from the insurer, which is included in the premium. You pay no separate advice fee. Before you take out cover, we establish your wishes and needs.
You will find our licence, KvK and Kifid details and our complaints procedure at the foot of every page.
This page was written and checked by an adviser at Finass Verzekert. Last updated on .
The information on this page is general in nature and is not personal advice.
Maandag- Vrijdag: 09:00- 17:00
We use cookies and similar technologies to improve your experience on our website.