Job center goes bankrupt in court: insurance costs have to be paid!

Job center goes bankrupt in court: insurance costs have to be paid!

A groundbreaking ruling by the Berlin Social Court recently caused a stir. The court decided that the job center must cover the costs of private liability and household contents insurance for a citizen's benefit recipient. The plaintiff had applied to the job center for reimbursement of these premiums, but was initially rejected. The social court's decision came about in the case, which was filed under file number S 109 AS 25036/15.

According to information from fr.de The plaintiff justified his claim with the legally anchored insurance requirement according to his rental agreement. The court's final decision was made on July 24, 2017. It rejected the argument of the job center, which refused to cover the costs because they are not listed in the law. However, the court was of the opinion that the insurance premiums are regulated as accommodation costs.

The course of the legal dispute

The plaintiff was registered as a benefit recipient at the job center and had to prove that he had taken out liability insurance and household contents insurance in order to fulfill his rental contractual obligation. After the job center rejected his application to cover costs, he lodged an objection. However, this was rejected, so he sued the social court and was represented by a lawyer.

His lawyer argued that such insurance protects both third parties and the state. Without household contents insurance, the job center could have to pay for the damage in the event of damage. The law firm pointed out that the premiums for the insurance are not included in the regular needs area of ​​the Social Security Code II and are to be viewed as “special needs”. The job center replied that the rental agreement clause was ineffective and that the benefit recipient could violate it.

Criticism of the job center's decision

The social court's decision put the job center in a bad light. Representatives of the Paritätischer Wohlfahrtsverband expressed criticism of the authority's stance, as it could lead to financial cuts for those receiving benefits. The job center's official statement is seen as a risk for the citizens affected, who see themselves forced into a legally uncertain situation by the rejection.

The ruling shows that, under certain conditions, recipients of citizens' benefit are also entitled to cover costs that are usually not taken into account. Insurance premiums are now recognized as part of accommodation costs, which is a positive change for many affected benefit recipients.