Insurance in the Netherlands

In brief

Two types of insurance are required by law in the Netherlands. Everyone who lives or works here takes out basic health insurance under the Health Insurance Act. That has to be done within four months of arrival or registration, backdated to that date. And anyone who has a motor vehicle in their name is required to take out Third-party liability insurance under Article 2 of the Dutch Motor Insurance Liability Act (WAM), for as long as the registration is not suspended. All other insurance is voluntary, even though a mortgage lender, landlord, VvE (Dutch owners' association) or client can require it by contract.

The customary package alongside that consists of buildings, home contents, personal liability, legal expenses and travel insurance. Liability insurance is common in the Netherlands because liability law under Article 6:162 of the Dutch Civil Code reaches far: parents are strictly liable up to a certain age for damage caused by their children, keepers of animals for damage caused by their animal (Article 6:179 of the Dutch Civil Code) and owners of a building for defects in it (Article 6:174 of the Dutch Civil Code). Personal injury claims can run high here and there is no statutory maximum.

Supervision is divided: DNB looks at the financial soundness of insurers, the AFM at conduct and the information provided, both under the Dutch Financial Supervision Act. Before you take out cover you receive an insurance card (verzekeringskaart): a standardised one-page summary. If you cannot resolve matters with an insurer, a complaint goes first to its internal complaints procedure and then to Kifid or the courts. On general insurance you pay 21% insurance premium tax; on life and health insurance you do not.