Insurance in Portugal in 2026: Ultimalte Guide

Overview of insurance in Portugal

Residents of Portugal are obliged to have health and social insurance. Other mandatory insurance types are house insurance and car insurance.

Optional types of insurance include unemployment insurance, life insurance, and any kind of insurance needed in addition to mandatory options — to have the contents of a house insured, one needs to pay extra for private insurance.

Prices for private insurance plans in Portugal are generally affordable — from €10 monthly. Insurance companies offer various types of plans. For example, one can protect their vehicle from theft, which is not typically covered by basic car insurance plans.

Health insurance in Portugal

The healthcare system in Portugal has three components: Serviço Nacional de Saúde (SNS), public healthcare, healthcare subsystems, and private healthcare. 

Public healthcare, or SNS. In all regions of Portugal, public clinics and hospitals offer free medical care for country residents. As of 2021, Portugal allocated 11% of its GDP to the health sector. Public health insurance covers almost all kinds of primary medical procedures. Exceptions are dental services and cosmetology.

Tourists and those holding short-term visas do not qualify to use state-provided types of insurance. These are only for citizens and residents of the country.

There are also co-payments for non-essential services, usually no more than €15 per visit.

Dental services are provided on a paid basis in Portugal. Costs depend on the service needed and the clinic chosen.

On average, the approximate price for an initial appointment in a dental clinic is €5. Subsequent visits are also paid, with the price depending on the services provided. For example, to whiten your teeth, you can expect to pay €100+ and to extract wisdom teeth — €40. Checkups or cleansing are cheaper, for about €30 per visit.

To receive a treatment plan and estimated cost, you should contact a dental clinic in Portugal.

Here are some of the top-ranked dental clinics in Lisbon:

• Medidental Dental and Wellness Clinics; 
• CPRO Clinic — Oral Prevention and Dental Rehabilitation Clinic;
• DentalTeam.

Dental services in Portugal are often included in private insurance plans. Basic private dental insurance costs from €80 a year for a single person. A family of 4 can expect to pay about €200 per year.

Healthcare subsystems. There are free healthcare programs for those who work in the government, for servants of local administrations, and specific professional groups such as police officers and correctional officers. The state of Portugal funds these healthcare subsystems, which are unavailable for individuals outside its professional focus.

Private healthcare. Despite there being well-developed public healthcare in Portugal, private healthcare is famous not only among non-Portugal nationals but among Portuguese citizens. Portuguese households spend about 30% of all healthcare expenses on it.

People tend to pay extra to have their dental and cosmetic surgery covered since these are not covered by the state.

Private clinics are available for everyone. Since out-of-pocket payments are typically higher, paid health insurance helps save money on personal services.

There is a difference between private health insurance and private health plans:

1. Health insurance is provided by an insurer of choice and covers medical services in hospitals under insurance. An insurer provides the list of hospitals.
2. Healthcare plans are supplemental and do not cover hospitalisations and surgeries. The price for a healthcare plan is calculated individually and is usually less than the insurance price — about €10–15 a month.

Travel insurance in Portugal

Travel insurance is mandatory for tourists visiting Portugal — it is impossible to apply for a visa without a travel insurance confirmation. The minimum coverage for the Schengen countries is €30,000.

A convenient way to purchase travel insurance is to do it online or in an office of a provider. Insurance must be valid in the Schengen Area and cover emergency treatment, hospitalization, evacuation, and repatriation expenses. 

Medical tourism expenses and non-emergency cases are not included in a travel insurance plan. Medical tourism insurance covers possible risks during medical procedures and recovery periods. However, this type of insurance cannot replace health insurance.

Some of the most popular travel insurance providers are: 

• Allianz,
• AXA,
• MondialCare.

The best travel insurance for Portugal must meet all travel insurance requirements of the Schengen Area and be valid during your stay. 

Nationals of certain countries are not required to have travel insurance, e.g., residents of the UAE, Saint Kitts and Nevis, or Saint Lucia. However, it is highly recommended to have travel insurance to avoid risks.

Prices for travel insurance vary from €20 to €50 per trip, depending on the length of stay in Portugal and the coverage chosen.

Expat insurance in Portugal

Public insurance in Portugal is available for all legal residents, including expats.

Expats who are to visit Portugal using a Portugal D7 Visa do not qualify to use public healthcare. However, after obtaining a residence card, they can sign up for the public health insurance plan.

Travel and health insurance are obligatory to apply for a D7 Visa Portugal if you plan to obtain a residence permit after.

A resident can have voluntary private healthcare insurance in case they need extra coverage — or they plan to stay in Portugal for less than 90 days. In this case, they do not qualify for SNS services.

For those living or working in Portugal, it is essential to contribute to the social security system to be able to use public healthcare services. An employer usually does it. Self‑employed must contribute by themselves.

Major European and international insurance providers offer extended packages for expats. These packages typically include health, travel, and life insurance and are adjustable.

The cost of a custom insurance plan that includes all mandatory types of insurance for expats is calculated individually.

Car insurance in Portugal

It is obligatory to have car insurance in Portugal. Minimum coverage includes damage and injuries to a third party and the cost of damage to a third party’s property. This coverage costs from €100–150 a year and covers a minimum of €6 million for injuries and €1 million for vehicle damage.

Fully comprehensive car insurance costs about €350 a year. It includes all possible risks, damage to an owner’s risk, and civil liability insurance.

Extended types of the policy usually cover repairs such as glass repairs. The final cost of car insurance depends on the age of the vehicle, the owner’s driving record, and other factors.

Portugal car insurance is valid when traveling to one of the EU countries and the UK. However, if you plan to move to another EU country, you might need to re-register your vehicle — an insurer might not be authorized to cover you abroad.

When traveling to non-EU countries, check every country’s requirements for car insurance. Insurance providers offer overseas car insurance policies. These policies are customized depending on the country of visit.

Home insurance Portugal

If you buy property in Portugal, you are legally required to have minimum housing insurance. It costs €80–100 a year and usually covers damage caused by natural disasters such as floods and hurricanes and the human element, e.g., heat waves damage and explosions.

Owners who want to have extra coverage pay for private house content insurance and liability insurance. 

Home insurance typically does not cover unoccupied property. If an owner plans to live in their property seasonably, they should consider additional insurance for unoccupied property.

Holiday home insurance in Portugal. This type of home insurance covers damage caused to unoccupied property — for example, a holiday house only visited once a season.

Private insurance companies offer plans with all possible damage included. Holiday homes can be protected from natural disasters, theft of property and money, and loss of property due to electrical surges.

Travel costs in case of fleeing to the area where the holiday home is located can also be covered.

The average cost of extended coverage starts from €100 annually and is calculated individually, depending on factors such as the size of a property.

Home contents insurance in Portugal. An insured can cover the contents of their own house, as well content they bring with them to a rented property. Fire insurance is obligatory for homeowners, and it commonly covers possible damage caused to their belongings.

For example, insured events for this policy’s basic plan include theft and electrical damage. Damage caused by the owner does not make insured events: if they left taps running, the damage would not be covered.

Furniture and electronic devices are the most common contents to be covered. Expensive goods such as art and luxury items might need extra coverage depending on their price.

On average, home contents insurance prices start from €80 a year. Plans that include coverage for expensive items cost more. Damage caused by multiple risks that are not covered in basic plans will also add up to prices. 

Social insurance in Portugal

There is a system of state-funded social security benefits for citizens and residents in Portugal:

• Workers pay contributions through their employees. Contributions vary from 11% to 21.4% and are deducted from monthly salary;
• Self-employed workers contribute by themselves and pay 21.4% of income monthly.

Insured events include unemployment, sickness, parental leave, invalidity, elderly disability, loss of a spouse, and accident survivor benefits.

Private social insurance costs €20+ per month, depending on the insured person’s needs.

Life insurance in Portugal

Life insurance is a paid and non-mandatory option in Portugal. It covers possible death and disability risks.

The cost and the amount of life insurance can be recalculated annually, considering the policyholder’s health. It is also possible to fix the amount for a set period. Life insurance is calculated individually, and the average annual cost is €50–100.

Some exceptions do not form insured events for life insurance in Portugal:

• suicide attempts;
• substance abuse;
• death while committing a crime;
• private airplane accidents;
• injuries caused by private cars accidents;
• natural disasters.

There are different types of insurance needed for events listed above, such as travel insurance and health insurance.

Liability insurance in Portugal

There are public and private types of liability insurance in Portugal. Liability insurance protects third parties from any possible damage.

Liability insurance is mandatory for an EU-registered vehicle in Portugal. It covers injuries of drivers, passengers, and third parties in case of an accident.

Landlords are required to have liability insurance. If you rent an apartment, you must include liability insurance in your home insurance plan.

Civil liability insurance protects individuals from unpredictable damage, e.g., collapses of buildings or falling from slippery stairs.

The cost of private liability insurance is calculated individually. Still, the minimum cover is €6 million per insured event for a single person and €1 million per insured event for material damage caused.

Unemployment insurance in Portugal

There is a system of state-funded unemployment benefits in Portugal. Involuntary unemployed citizens and residents of certain professions qualify for it. For instance, domestic service workers, invalidity retirees, school teachers, and agricultural workers.

First job seekers also qualify for social unemployment benefits in Portugal.

Social benefits are provided to individuals who support the public insurance system by taxation.

Expats who want to protect themselves from losing a job often pay for private unemployment insurance. Banks can often ask their client to have private unemployment insurance before concluding a loan agreement.

The cost of private unemployment insurance is calculated individually.

Commercial insurance in Portugal

Commercial insurance is a paid option in Portugal. However, businesses are obliged to have public liability insurance. Other types of business insurance are voluntary.

Public liability insurance. For business in Portugal, there is mandatory public liability business insurance. It protects businesses from financial or reputational damage. 

For example, an unsatisfied client’s claim ends up with a lawsuit against the business — in this case, public liability insurance will cover legal fees. It will also include coverage for physical and moral damage caused to third parties. 

A single employee as well can be covered by this type of insurance.

Business interruption insurance is optional. It helps businesses that have to stop functioning for any reason — for example, in case of a pandemic. Business interruption insurance protects insurers from losing profit during involuntary standstill.

Building insurance and equipment insurance protects a business from losing operational facilities and equipment on which the business depends. For example, owners of coffee shops can cover their equipment — coffee machines.

Business owners can also provide their employees with inner coverage plans for their health and workplace safety.

Building insurance cost is calculated by an insurer based on a type of business but is, on average, €72 per year.

How to become a Portugal expat?

To qualify for usage of Portugal state-funded insurance, you need to be a citizen of Portugal — or a resident with a long-term visa.

A Portugal D7 Visa is available for individuals from non-EU countries. The principal applicant should be over 18 with no criminal record. They should have a stable passive income of over €920 a month and buy or rent property in Portugal.

A spouse, financially dependent parents, and children up to 21 can be included in the application — the income for a spouse or parent is 50% of the investor’s and 30% for a child's.

No investment is required for a Portugal D7 Visa, which can be obtained remotely from a country of origin. 

The D7 Visa will be valid for 4 months, during which one can enter the country to apply for a residence permit via the Immigration and Border Services (SEF). 

There is a residing term: to maintain the status, you must reside in the country for 183 days a year.

Living in Portugal has multiple benefits. Legal residents of Portugal can access the country’s free healthcare, travel visa-free across the Schengen Area, and apply for citizenship after 5 years of holding a permanent residence permit.

Key takeaways on Portugal insurance

1. Insurance for health, car, home, and social risks are mandatory types of insurance in Portugal.
2. Serviço Nacional de Saúde (SNS) is a national public healthcare provider. The state funds it, and its services are available to residents of the country.
3. Healthcare subsystems are part of the national healthcare system of Portugal and provide coverage for government services employees, the military, police officers, and banking sector workers.
4. Private healthcare is used by both residents and non-Portugal nationals. Residents supplement their public healthcare plan by adding extra coverage they pay for. Individuals who do not qualify for SNS services use private healthcare as their primary provider since they are legally obliged to have health insurance in Portugal.
   Tourists with Schengen visas must buy travel insurance before visiting Portugal; for other tourists, it is optional but recommended.
5. Insurance providers offer extended packages for expats. These packages typically include health, travel, and life insurance and can be customized.
6. To take advantage of the public healthcare system, you must be a legal resident of Portugal. One of the ways to become a resident without significant investment is to apply for a Portugal D7 Visa.

Frequently Asked Questions