Lebensversicherung: So stehen die größten deutschen Lebensversicherer finanziell da

The German life insurance market is facing growing financial challenges and a loss of public trust. Professor Hermann Weinmann from the Institute for Finance Economics in Ludwigshafen has been calling for uniform rules, particularly for state-supported products, for an extended period. He believes that the reform of the Riester pension with a standard investment fund is a step in the right direction, but may also increase competition for life insurers.

Many customers might choose an investment fund deposit instead of an insurance policy in the future.

Despite these challenges, life insurance should not be dismissed as "costly dinosaurs of the past." One of its advantages is the provision of a lifelong pension. The success of stable pension payments depends on life insurers managing their customers' money effectively. Weinmann's annual balance check, published in the "Journal of Insurance," compares the financial situations of 14 major German life insurers for 2025.

The results show a wide range of outcomes, with Allianz Leben and Hannoversche Leben leading the pack with 900 out of 1000 possible points and a "very good" consumer rating. Axa Leben, Alte Leipziger Leben, WWK Leben, and R+V Leben also received a "good" rating. Generali Deutschland Leben, owned by the Italian insurance giant, received a "satisfactory+" rating, placing it on par with the Bayern-Versicherung. Provinzial Leben, however, saw a decline, moving from a "sufficient" rating to "unsatisfactory."

The study reveals noticeable improvements in costs for Allianz, which has the lowest operating cost ratio among the insurers analyzed. Their cost of managing customer premiums, contract administration, and other operational activities is only 6.3 percent. In contrast, WWK has the highest operating cost at 19.3 percent. Several insurers have observed a decline in operating costs over a five-year period, but the Bafin financial supervisory authority notes that effective costs for fund-based and hybrid life insurance policies, a mix of traditional and fund-based policies, have been decreasing since 2021. However, they remain too high for some providers in the expensive market segment.

High early termination costs are another significant concern for consumers. When policyholders cancel their contracts prematurely, it often results in a low buyback value due to the inclusion of early termination costs in the first year's contributions. Weinmann highlights the "cancellation loss" as another crucial indicator, measuring the ratio of canceled contracts to new contracts.

Insurers facing high cancellation rates, such as Zurich Deutscher Herold, Nürnberger Leben, and Debeka Leben, are criticized by Weinmann as indicating low customer satisfaction. This trend is also reflected in the overall association of the German Insurance Association (GDV), which reported that German life insurers held around 79 million contracts in 2025, down from over 94 million in 2005.