Save: cheap but suitable

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The cheapest damage insurance without losing cover

Cheap is only good when the policy still does what you expect at claim time. With damage insurance, a low premium can come from a higher deductible, lower limits, stricter exclusions, less claims support or simply a promotional discount that disappears after year one. The right question is therefore not 'what is the lowest premium?' but 'what is the lowest premium that still fits the risk I cannot or do not want to carry myself?'

Households that want to save on damage insurance without taking unnecessary risk. · Updated: 2026-06-13 · Verified by Pieter Smit (Certified Insurance Advisor Wft)

Deductible: the silent cost raiser

The deductible is the most commonly used way to reduce premium — and the most underestimated way to create unexpected costs. A deductible of 500 euros instead of 150 euros may lower the annual premium by tens of euros, but when a small or medium claim happens, you pay the difference yourself.

Calculate the break-even point: if the higher deductible saves you 40 euros per year but the deductible rises by 350 euros, it takes nearly nine claim-free years to earn back that extra exposure. One medium claim during that period makes the higher deductible more expensive overall. The right deductible depends on your financial buffer and claim frequency — not just the premium saving at the time.

Where cheap goes wrong per policy type

Risk check per policy before choosing the lowest premium
Policy	Cheap choice can mean	Check this first
Car	Higher deductible, third-party only when all-risk fits better, or market value payout that does not match your buffer.	Calculate whether the all-risk vs. third-party plus break-even fits market value, savings buffer and driving frequency.
Contents	Insured amount too low, outside-the-home cover missing, valuables not separately covered.	Replacement value of all belongings including electronics, valuables and items taken outside the home.
Buildings	Stricter security requirements, insufficient cover after renovation, solar panels not covered.	Current rebuild value, foundations, glass, outbuildings, solar panels and approach to renovation damage.
Liability	Lower insured amount, no cover for all household members, children or renting situation.	Household composition, children, co-inhabitants and what the insured amount is for a large liability claim.
Legal expenses	Missing modules for traffic, housing, consumer or employment — exactly those categories you may need.	Which legal expenses modules you use or expect to use, and whether waiting periods apply for new modules.
Travel	Cancellation cover missing, baggage limit too low, medical costs outside Europe restricted.	Trip duration, destinations, travel inventory and whether cancellation is separate or included.

Where you can often save safely

The best saving rarely comes from choosing the barest policy — it comes from removing what you already have twice or too broadly. These are the most common savings that do not worsen cover for major claims:

Duplicate breakdown cover: already arranged through motoring club, car insurance or leasing company while also paying a standalone breakdown policy.
Duplicate travel baggage cover: already covered under contents insurance (outside the home) and also in the travel policy.
Duplicate legal expenses: covered through employer, trade union or professional association, and also paying a standalone policy you never need.
All-risk on a car whose market value has dropped below roughly 4,000–5,000 euros — switching to third-party plus or third-party only may then make sense.
Household policies that no longer fit after a move, moving in together or children becoming independent.
Package premium at a provider whose individual policies are more expensive than separate policies elsewhere with the same cover.

Test every cheap policy against three claim scenarios

Before switching to a cheaper policy, run through three claim scenarios. If the outcome is acceptable in all three, the switch is likely sensible.

Small claim (under 500 euros)

Does the higher deductible and no-claim impact mean you pay almost everything yourself? Is it still logical to file that small claim, or is it better to pay it yourself?

Medium claim (500 – 5,000 euros)

Are the limits, market value payout and exclusions of the cheaper policy still acceptable? Compare the policy document with your current one.

Large claim (above 5,000 euros or liability)

Can you carry the financial impact yourself if the cheaper policy pays less than your current cover? Think of total loss in a fire, major liability damage or extended legal proceedings.

The right order before switching

Never start with the cheapest advertisement. Start with your current policy documents: read the terms, note the deductible, the exclusions and the cancellation date. Only once you know which cover you want to keep can you compare premiums fairly.

Check the cancellation date per policy: Dutch damage insurance typically has an annual cancellation window, sometimes with one month's notice before the renewal date.
Watch temporary promotional discounts: the year-one premium can be significantly lower than the structural premium from year two onwards.
Check whether package discount disappears if you cancel one policy — that may cancel out the saving on that one policy.
Always compare the same cover: same deductible, same add-ons, same limits.

Review price and cover together

Through PolisMoment, one independent, commission-free advice firm can look at price and cover together. PolisMoment does not advise itself and does not resell your request to multiple parties.

Frequently asked questions

Is the cheapest damage insurance ever sensible?

Yes, if the terms, limits and deductible still fit your situation and financial buffer. Cheap becomes risky when important cover disappears unnoticed or the deductible is so high that small and medium claims still cost you most of the money yourself.

Where is the fastest saving in damage insurance?

Often in duplicate add-ons you already have elsewhere — breakdown, travel baggage or legal expenses covered in multiple places. Or in all-risk on a car whose market value has fallen sharply. These are savings without worsening cover for large claims.

Do I always need to lower cover when saving?

No. Saving can also mean switching to a better price with the same cover, removing duplicate add-ons or replacing a package with separate policies that are cheaper combined. Reducing cover is only sensible if you consciously can and want to carry the risk that disappears.

How do I calculate whether a higher deductible is beneficial?

Subtract the premium saving of the higher deductible from the extra risk you carry yourself. If you save 40 euros per year but the deductible rises by 350 euros, it takes nearly nine claim-free years to break even. One medium claim during that period makes the higher deductible more expensive overall.

Does PolisMoment help me choose personally?

PolisMoment does not provide personal advice. Your request goes to one independent, commission-free advice firm that can assess your situation.

Pieter Smit

Wft Gecertificeerd

Pieter Smit is a certified insurance advisor (Wft non-life personal & commercial) with years of experience in the Dutch insurance market. As an independent expert, he verifies that our articles comply with current regulations and that the advisory principles are strictly commission-free and focused on the consumer's best interest.

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