Employment legal protection insurance: When is the additional module worthwhile? Expert explains it!

Employment legal protection insurance: When is the additional module worthwhile? Expert explains it!

According to a report from www.capital.de,

The article addresses the question of whether employment legal protection insurance makes sense in the event of disputes with the employer. It is explained that classic legal protection insurance generally does not cover the costs of disputes at work and that the additional component of employment legal protection is therefore necessary. However, this additional component is not worthwhile for everyone, as the benefits vary depending on the insurance company and certain requirements must be met for the insurance coverage to take effect.

According to the article, professionals who are interested in employment legal protection insurance must carefully check whether it is worth it, as it only applies to claims that have already occurred. In addition, possible exclusions and termination clauses are viewed critically by insurers. It is emphasized that the decision to take out employment legal protection insurance is also a psychological consideration and depends on the willingness to sue.

The expert recommends having all contracts checked by a specialist before taking out employment legal protection insurance to ensure that the new contract is not worse than the existing one. She also recommends paying attention to the damage amount and a deductible in order to save costs.

As an economist, I see important factors in the article's information that reflect the potential impact of employment insurance on the market and the consumer. It becomes clear that the decision for or against such insurance for professionals depends on various factors, including individual risk tolerance, financial situation and careful examination of the contract conditions. The large number of exclusions and termination clauses on the part of insurers also shows that the market for employment legal protection insurance is complex and multi-layered.

Calculating the potential costs for professionals and pointing out the possibility of saving costs through a deductible are relevant information for consumers considering such insurance. It is important that professionals consider the individual risks and potential costs and, if necessary, seek professional advice to make an informed decision.