Homeowner Insurance in Luxembourg 2026
In Luxembourg, home insurance is not legally compulsory for an owner-occupier — but it is required by banks for mortgage lending, and for co-owners, building liability cover (RC immeuble) is mandatory under the Act of 16 May 1975 on co-ownership status. Homeowners pay an average of €300 to €800/year depending on the property size and level of cover. A Luxembourg-specific rule: a fitted kitchen is classified as contents (not as part of the building) and must be insured accordingly.
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Go to the comparator →Is home insurance compulsory for a homeowner in Luxembourg?
Contrary to popular belief, home insurance is not a legal requirement in Luxembourg for owner-occupiers. No legislation obliges you to insure your primary residence if you own it personally and live there alone in a detached house.
In practice, however, insurance effectively becomes unavoidable in three situations that the vast majority of Luxembourg homeowners will encounter.
First, if you have taken out a mortgage, your bank will systematically require home insurance as a condition of granting the loan. The lender wants to ensure that the property securing its loan is protected against major claims.
Second, if you co-own a flat or a unit in a multi-occupancy building, you are legally required to take out at least a personal liability insurance policy covering damage that could originate from your private unit. This obligation stems from the amended Act of 16 May 1975 on the status of co-ownership of built properties. Its purpose is to protect fellow co-owners and third parties against claims originating from your dwelling.
Third, even without a formal obligation, any homeowner faces significant financial exposure in the event of a claim. A fire, water damage or a break-in can generate repair costs running into tens or even hundreds of thousands of euros. Without insurance, those costs fall entirely on you.
Even if the law does not directly compel you as an owner-occupier of a detached house, choosing not to insure exposes your property to major financial risk. Repair costs following a home insurance claim in Luxembourg can range from a few thousand to several hundred thousand euros, depending on the nature and extent of the damage.
Why take out home insurance as a homeowner?
Even without a strict legal obligation, Luxembourg homeowners have every reason to protect themselves. Here are the five key reasons that justify taking out comprehensive home insurance.
A standard bank requirement
If you are financing your purchase with a mortgage, your bank will contractually require home insurance. Luxembourg banks (Spuerkeess, BGL BNP Paribas, ING, BIL, etc.) make the granting of a mortgage conditional on presenting a home insurance certificate covering at minimum the building. You will need to provide this before or at the time of signing the notarial deed.
Protecting your property investment
Luxembourg property prices are among the highest in Europe. A total fire or major structural damage can wipe out an investment worth several hundred thousand euros. Insurance guarantees compensation to rebuild or repair your property at its replacement value, without having to dip into your personal savings.
Third-party liability
As a homeowner, you are liable for damage your property causes to third parties. A water leak from your flat damaging the downstairs neighbour’s apartment, a roof tile falling and injuring a passer-by, or a tree from your garden falling onto a neighbouring property — these are all situations where your liability could be engaged for potentially very large sums.
Contents and fittings cover
Beyond the building itself, homeowner insurance protects your personal belongings: fitted kitchen, furniture, white goods, electronics and personal items. For a standard Luxembourg flat, the value of contents can easily exceed €40,000. Without insurance, total loss in a claim is a devastating financial blow.
Luxembourg tax advantage
The liability (RC) portion of your home insurance premium is tax-deductible in Luxembourg, up to a limit of €672 per person per year (Article 111 of the LIR). This ceiling applies across all your liability insurance premiums combined (home, car, personal liability). It reduces your taxable income and lets you recover part of your insurance cost when filing your annual tax return.
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Compare home insurance →What cover does an owner-occupier need?
A homeowner insurance policy in Luxembourg covers both the building (immovable property) and its contents (movable property). The table below details the essential cover options and their typical status (included as standard or optional) across Luxembourg market contracts.
| Cover | What it includes | Typical status |
|---|---|---|
| Fire and related risks | Fire, lightning, explosion, smoke, soot · Building reconstruction | ✓ Included |
| Water damage | Leaks, burst pipes, seepage, frozen installations | ✓ Included |
| Storm, hail, snow | Weather-related damage to building and contents | ✓ Included |
| Glass breakage | Windows, glazed doors, mirrors, ceramic hob panels | ✓ Included |
| Electrical damage | Power surges, short circuits affecting installations and appliances | ✓ Included |
| Acts of malice | Property damage resulting from vandalism or terrorist acts | ✓ Included |
| Building liability (RC immeuble) | Owner’s liability for damage caused to third parties by the property | ✓ Included |
| 24/7 assistance | Emergency call-out (locksmith, plumber, electrician) after a claim | ✓ Included |
| Theft and vandalism (contents) | Break-in, attempted theft, associated property damage | ⚠ Varies by plan |
| Personal liability (RC vie privée) | Bodily and material damage caused to third parties in private life | ⚠ Common add-on |
| Flooding / weather perils | Sewage backup, flooding, rising water — included as standard at Baloise | ⚠ Add-on or higher tier |
| Solar panels / green energy | Photovoltaic installation, condensing boilers | ⚠ Specific add-on |
| Valuables (jewellery, art) | Precious items above the standard contents limit | ⚠ Specific add-on |
| Legal protection | Legal fees and court proceedings related to the home or private life | ⚠ Common add-on |
Source: IPID — LALUX easyPROTECT, Foyer Mozaïk, AXA OptiHome, Baloise Home — June 2026.
In Luxembourg, flood and weather peril cover is not automatically included in standard policies — unlike in France or Belgium. Baloise is the exception, including this cover from its base policy onwards. For homeowners in at-risk areas (Moselle, Sûre, Alzette river zones), checking for this cover is essential. The July 2021 floods underscored its importance in the Grand Duchy.
Specifics for co-owners
If you own a flat or a unit in a co-owned building, your situation differs slightly from that of a detached homeowner. In Luxembourg, three levels of insurance coexist in a co-owned building, each with its own distinct scope of cover.
The co-owners’ association insurance
The co-owners’ association (syndicat), represented by the managing agent (syndic), must take out insurance covering at minimum the liability of the co-ownership. This insurance protects against damage caused to third parties by the common areas (a falling roof tile, a slippery staircase, a faulty lift). In practice, most associations take out a multi-risk building policy (MRI) that also covers the common parts themselves (roof, facade, hallways, stairs, shared pipework).
Individual co-owner liability cover (compulsory)
Every co-owner must take out insurance covering their personal liability for damage that could originate from their private unit (water damage, spreading fire, etc.). This obligation arises from the Act of 16 May 1975 on the status of co-ownership of built properties (as amended, notably by the Act of 30 June 2022). Your home insurance policy includes this building liability cover. You will generally be required to provide a certificate to your managing agent.
Your own home insurance policy (private unit)
Beyond the compulsory liability cover, it is strongly advisable to insure your private unit (building and contents) against everyday risks. The association’s MRI policy never covers your private unit — only the common areas. If you are renting out your flat, you will also need to take out appropriate non-occupying landlord (PNO) insurance.
The co-owners’ association insurance is not enough on its own. Even if the association has taken out an MRI policy, you must have your own home insurance covering your private unit and your liability for damage originating from your flat. Failing to insure exposes you to significant financial risk and potential sanctions from the association.
Non-occupying landlord insurance (PNO)
If you own a property that you do not personally occupy — because it is rented out, vacant, or lent free of charge — you should consider non-occupying landlord insurance (PNO). This specific cover addresses the particular needs of landlords and differs from standard home insurance.
In Luxembourg, PNO insurance is not legally compulsory for a detached house, but it is strongly recommended for all landlords. If your property is in a co-owned building, you remain obliged to take out at minimum a building liability policy (RC immeuble), regardless of your occupancy situation.
When should you take out PNO insurance?
🏠 Rented property
Your property is occupied by a tenant who has their own home insurance. PNO insurance steps in if the tenant’s policy does not fully cover the damage, or if the tenant fails to meet their insurance obligations. It also applies in disputes between landlord and tenant.
🔑 Vacant property
During void periods between tenants, your property is not covered by any tenant’s insurance. PNO insurance protects your asset during these phases, when the risk of unreported damage is higher.
👨👩👧 Rent-free occupancy
You lend your property to a relative or friend without charging rent. In this case, the occupant has no mandatory insurance obligation, and PNO insurance becomes your primary protection against claims affecting your property.
PNO insurance cover
| PNO cover | What it includes |
|---|---|
| Non-occupying landlord liability | Damage caused to tenants or third parties originating from the building |
| Building damage | Fire, water damage, storm affecting the private unit |
| Void period cover | Protection of the property during periods without a tenant |
| Furnished contents | Furniture and equipment provided to the tenant |
| Unpaid rent (optional) | Cover against tenant payment default |
| Tenant damage (optional) | Damage caused by the tenant discovered at end of tenancy |
Foyer Mozaïk offers options specifically designed for non-occupying landlords: PNO liability, building legal protection, unpaid rent guarantee. Other insurers also allow their home policy to be configured for PNO situations. Use our comparator to find the right solution for your landlord situation.
Homeowner insurance prices in 2026
The cost of homeowner insurance in Luxembourg depends on multiple factors: property type (flat or house), floor area, declared contents value, location and level of cover chosen. The ranges below are indicative and based on Luxembourg market offers in 2026. Actual premiums are personalised by each insurer according to your profile.
| Property type | Floor area | Basic plan | Comprehensive plan |
|---|---|---|---|
| Flat 🏢 | 50–60 m² | €25–30/month | €35–45/month |
| Flat 🏢 | 80–100 m² | €30–40/month | €45–60/month |
| Flat 🏢 | 120–150 m² | €40–50/month | €60–80/month |
| House 🏡 | 120–150 m² | €50–65/month | €80–100/month |
| House 🏡 | 180–200 m² | €65–85/month | €100–130/month |
| House 🏡 | 250 m²+ | €85–110/month | €130–160/month |
Switchr.lu estimates based on Luxembourg market offers — June 2026. Premiums are personalised to your profile; request a quote for an accurate figure.
Premiums rise noticeably with optional cover: solar panel protection, valuables extension, swimming pool or flood cover. Homeowners in flood-risk areas may face a surcharge. To get the best value for money, compare offers from approved insurers.
Comparing the 4 home insurers in Luxembourg
All four companies approved by the Insurance Supervisory Authority (CAA) offer plans suited to homeowners. The table below compares their products and verified strengths, based on their official product information documents (IPID).
| Insurer | Product & plans | Cover structure | Key strengths |
|---|---|---|---|
|
LALUX
easyPROTECT Habitation
3 plans
|
Sécurité · Confort · Performance Owner, co-owner, tenant |
Progressive cover: theft and personal liability available from the Confort plan · Weather perils (flooding) included in the Performance plan · Optional extensions: swimming pool, solar panels, valuables, e-mobility, travel | Home Assistance 24/7 included · Online contents sum insured simulator · easyPROTECT Discover for ages 15–27 · €50 discount per home when bundling policies |
|
Foyer
Mozaïk
Modular
|
Core + modules of your choice Occupant, non-occupying landlord, tenant |
Core cover: fire, water damage, storm, glass breakage, electrical damage · Theft as add-on · Natural disasters as add-on · Personal liability, legal protection as add-ons | Specific PNO options: landlord liability, unpaid rent guarantee · 24/7 assistance included · Maximum flexibility to build your policy module by module |
|
AXA
OptiHome
2 plans
|
Active · Privilège Houses and flats |
Both plans cover fire, storm, water damage, glass breakage, electrical damage, theft and building liability · Emergency@Home assistance included · Personal liability as add-on | Add-ons: multimedia equipment, rain/flooding, earthquake (10% excess, min. €1,500), e-Protection (cyber risks), travel · Price reduction when combining add-ons |
|
Baloise
Home / GoodStart
Flexible
|
Core cover + optional packs Owner or tenant · GoodStart: flats online |
Core includes fire, flooding/storm/hail, acts of malice, water damage, glass breakage, electrical damage, property liability, assistance · Theft as add-on · Personal liability as add-on | GoodStart: 100% online sign-up in under 10 min for flats · Themed packs: multimedia, valuables, jewellery, sustainable mobility, garden/pool, renewable energy, wine cellar · Monthly, quarterly or half-yearly payments |
Sources: IPID — LALUX, Foyer, AXA, Baloise — June 2026.
How to choose your homeowner insurance policy
Choosing homeowner insurance should never be based on price alone. Here are the six key points to assess before signing your policy.
Value your property accurately
The sum insured for the building must reflect its reconstruction cost at today’s prices, not its market value (sale price). For contents, estimate room by room, including all your belongings: furniture, appliances, clothing, electronics, and especially your fitted kitchen. Undervaluing means under-compensation in the event of total loss. Some insurers, such as LALUX, offer online calculators to guide you through the process.
Check exactly what is included as standard
Not all policies include the same cover as standard. Theft, personal liability and flood cover are often offered as paid add-ons. Check precisely what is included in the base plan and what requires an additional module. Read the terms and conditions and the product information document (IPID) carefully before signing.
Compare compensation limits
Even when theft cover is included, the limit can vary significantly between insurers and plans. For valuables (jewellery, works of art, cameras, collections), specific and often low sub-limits apply. Check the sub-limits for each category of belongings and consider an extension if your possessions warrant it.
Understand the excess policy
Historically, Luxembourg insurers apply little or no excess on main cover (fire, water damage), which is an advantage over neighbouring markets. However, some specific cover may carry an excess: with AXA, the earthquake cover involves an excess of 10% of damage (minimum €1,500). Clarify the excess policy before taking out cover by reading the specific conditions.
Identify your specific needs
Do you have any particular installations? Solar panels, swimming pool, smart home system, e-bike, wine cellar? Each of these may require a specific pack or add-on. Frequent travellers will appreciate travel modules. Owners of furnished rental properties will need to choose an appropriate PNO configuration.
Compare all offers before deciding
The four Luxembourg insurers have different policy structures: some take a modular approach (Foyer Mozaïk, Baloise Home), others offer tiered plans (LALUX easyPROTECT, AXA OptiHome). Bundling policies (home + car with the same insurer) can generate savings depending on current offers. Use our comparator to compare offers side by side against your criteria.
Fitted kitchen: a Luxembourg-specific rule you must know
In Luxembourg, one key distinction sets home insurance apart from neighbouring countries: a fitted kitchen is classified as contents (movable property), not as part of the building. This means you must include it under your contents cover, not your building cover.
This rule has a direct impact on how you value your sum insured. For a standard Luxembourg flat, the fitted kitchen can account for a third of the total contents value. On a contents estimate of €45,000, the kitchen alone may represent €12,000 to €18,000 (wall and base units, worktop, sink, extractor, built-in oven, hob, dishwasher, fridge-freezer).
If you undervalue your contents by forgetting to include the kitchen, you risk being significantly undercompensated in the event of a claim. A fire starting in the kitchen and destroying all the equipment will only be covered up to the declared sum. Without proper valuation in your policy, the insurer will only reimburse a fraction of the actual replacement cost.
Our advice — When taking out cover, list your kitchen item by item: base and wall units, worktop, sink and taps, extractor hood, built-in oven, hob, dishwasher, fridge-freezer. LALUX offers an online contents sum insured calculator that guides you room by room. AXA recommends informing your insurer of any renovation work carried out (kitchen, bathroom) so it can be included in the declared amounts. Do not overlook this: it is one of the most frequently underestimated items in Luxembourg home insurance policies.
Frequently asked questions
Am I required to take out insurance as an owner-occupier in Luxembourg?
No, home insurance is not legally compulsory for an owner-occupier of a detached house in Luxembourg. It does, however, become mandatory in three cases: (1) if you have a mortgage, the bank requires it contractually; (2) if you co-own a unit in a multi-occupancy building, the Act of 16 May 1975 requires you to hold at minimum building liability cover; (3) if your co-ownership regulations explicitly require it. Outside these situations, taking out insurance remains essential to protect your property and contents against everyday risks.
What is the difference between owner-occupier insurance and PNO insurance?
Owner-occupier insurance covers the homeowner who lives in the property. It protects the building, contents and the owner’s liability towards third parties. PNO insurance (non-occupying landlord insurance) is for owners who rent out their property or leave it vacant. It complements the tenant’s own insurance and covers void periods in particular. If you are renting out your property, you should take out PNO insurance, not standard occupant cover.
How much does homeowner insurance cost in Luxembourg in 2026?
For a flat of 80–100 m², expect to pay between €30 and €40/month on a basic plan, and €45 to €60/month on a comprehensive plan. For a 150 m² house, premiums range from €50 to €65/month (basic) to €80–100/month (comprehensive). The final price depends on floor area, declared contents value, location and any optional add-ons activated. Premiums are fully personalised by each insurer: an online quote or via our comparator will give you an accurate estimate.
Is the co-owners’ association insurance enough, or do I need my own policy?
No, the insurance taken out by the co-owners’ association is never sufficient for the individual co-owner. The association insures only the common areas (roof, facade, stairs, hallways). You must have your own insurance covering your private unit and your liability for damage originating from your flat (water leaks, fire). The Act of 16 May 1975 on the status of co-ownership of built properties in Luxembourg requires this dual cover.
Do I need to insure my fitted kitchen separately?
You do not take out a separate policy, but you must include the value of your fitted kitchen in the declared sum for your contents. In Luxembourg, the kitchen is classified as contents, not as part of the building. It can represent a third of the total contents value of a flat — typically €12,000 to €18,000 for a standard kitchen. Forgetting to include it when estimating leads to under-insurance and insufficient compensation in the event of a claim.
Is there an excess on home insurance in Luxembourg?
Historically, Luxembourg insurers apply little or no excess on main cover (fire, water damage), unlike the French or Belgian markets. Some specific cover may, however, carry an excess: with AXA, the earthquake cover involves an excess of 10% of the damage (minimum €1,500). Always check the general and specific conditions of your policy to know precisely which excesses apply.
Can I deduct my home insurance from my taxes in Luxembourg?
Yes, the liability (RC) portion of your home insurance premium is tax-deductible in Luxembourg. The ceiling is €672 per person per year under Article 111 of the LIR. This ceiling is shared across all your liability insurance premiums (home, car, personal liability). Your insurer sends you an annual tax certificate showing the deductible amount to report in your return.
Are natural disasters (flooding) automatically covered?
No, unlike in France, natural disaster and flood cover is not automatically included in Luxembourg policies. It is offered as a paid add-on or included in higher-tier plans. Baloise is the exception, including flood cover in its standard policy. At LALUX, this cover is available in the Performance plan. If you live near a flood-risk area (Moselle, Sûre, Alzette rivers), make sure this cover is active in your policy.
What happens if I take out no home insurance at all?
Without insurance, you personally bear all costs in the event of a claim: building repair or reconstruction, contents replacement, and compensation for damage caused to neighbours or third parties. A total fire can generate several hundred thousand euros in costs. A water leak affecting several neighbouring flats can run to tens of thousands of euros. For co-owners, the absence of compulsory liability cover exposes you to sanctions from the association and to direct personal liability claims.
How do I cancel my homeowner insurance policy in Luxembourg?
In Luxembourg, you may cancel your home insurance at each annual renewal date by sending a recorded letter at least 30 days before the renewal date of the policy (Article 38 of the Act of 27 July 1997 on insurance contracts). You may also cancel for a legitimate reason: moving out of Luxembourg, selling the insured property, or a rate increase initiated by the insurer. Note: Luxembourg has no equivalent to the French Hamon Act, which allows free cancellation at any time after one year. See our guide on cancelling your policy correctly.
Do I need to insure my solar panels separately?
Yes, photovoltaic installations require a specific add-on, which is rarely included in standard plans. This add-on covers the panels against accidental damage and theft. LALUX offers a dedicated module for energy installations. Baloise has a Renewable Energy pack. Foyer also includes a dedicated option. Notify your insurer of your installation at the time of taking out cover or as soon as it is installed to ensure appropriate protection.