Insolvency of Element Insurance: 320,000 customers before the deadline!

Insolvency of Element Insurance: 320,000 customers before the deadline!

Element Insurance AG, a fully digital insurer, has been in final insolvency proceedings since March 2025. This was officially confirmed by the Charlottenburg District Court on March 1, 2025. The insolvency is the result of excessive indebtedness, which was reported to the Federal Financial Supervisory Authority (BaFin) on December 20, 2024. Around 320,000 contracts are affected, including accident, liability, household contents and residential building insurance. Customers should prepare for a changed situation, as insurance coverage has expired since April 1, 2025 and many contracts ended automatically after one month after the procedure was opened.

Affected customers must submit their claims by May 31, 2025. These must be reported to the insolvency administrator, including outstanding claims and premium refunds. It is important to note that outstanding claims are uncertain regarding the amount and timing of payouts. Claims arising from damages have priority over other claims.

Registration of claims

BaFin informed all known affected parties about the situation by letter. Insured people should take action, even if they are insured through cooperation partners such as Friday, hepster or Panda. A special website is available for registering claims: www.element-insolvenz.de. Insured people can register their claims there. Registration information will also be sent by post.

Customers are advised to check their insurance documents to identify the actual risk bearer. Many insureds may not be aware that they are insured with Element because the company operated as a white label insurer. BaFin also recommends organizing alternative insurance coverage to avoid gaps in coverage. Damage that occurs before the end of the contract is legally covered, but there is no guarantee of full settlement.

Effects of the insolvency proceedings

The bankruptcy also has an impact on the company's operations. BaFin had already imposed a ban on new business after the reinsurance protection was terminated. In addition, the number of contracts fell because many insured persons canceled their policies before the preliminary insolvency proceedings were ordered. Despite these challenges, it is unclear when and to what extent claims can be settled, as this depends on the total amount of claims.

BaFin does not offer individual advice, but recommends that insured persons seek legal advice or support from consumer protection organizations. There is therefore no room for inaction for those affected. Your claims must be filed promptly and correctly to minimize at least some of your financial losses.