The termination of an insurance contract is very often a source of conflict and litigation between insurers and policyholders. Indeed, to end your contract, you must respect a certain number of rules, sometimes very restrictive, of insurance law.
But good news: since June 1, 2023, all consumers can terminate their insurance contracts in just three clicks. A concrete approach put in place by the Government to simplify procedures, protect consumers and encourage changes to contracts. Totally free, this operation requires no reason and applies to almost all your contracts.
In addition, you should know that the termination in three clicks only concerns insurance contracts taken out electronically. But what to do when you want to terminate an insurance contract taken out in store or by telephone? Answers!
How to terminate your insurance contract?
For compulsory insurance, nothing could be simpler: it is up to your new insurer to take charge of the termination and continuity of your cover. You just need to indicate the name of the insurer and the contract number. What about non-compulsory insurance, such as complementary health? Here are all the steps to take!
Termination of the insurance contract on expiry
In the vast majority of cases, insurance contracts have fixed terms, often one year, listed on your insurance contracts.
For a cancellation request to be valid, you must send your insurer a registered letter with acknowledgment of receipt at least two months prior to the Maturity Date (or otherwise referred to as the “Anniversary Date”).
- Opposition to the tacit renewal of the contract
It very often happens that insurance contracts include a clause of tacit renewal of the contract. In other words, your contract is automatically renewed each year. However, be aware that you can oppose it without notice or penalty if the insurer has not notified you of this expiry date.
Did you know ? With the Hamon law, you can terminate your contracts whenever you wish after your first annual due date. This measure concerns four types of insurance: multi-risk home, car, complementary health and affinity.
Termination outside the expiry date of the insurance contract
- Termination for a change in personal situation
You can terminate an insurance contract due to a change in personal circumstances, provided this change modifies the risk covered by the insurance. You can cancel if you are affected by one of these five events: 1) a change of address, 2) a change of marital status, 3) a change of matrimonial regime, 4) a change of profession, 5) retirement or cessation of professional activity.
Good to know : you have up to three months following the date of the event to terminate your contract, by registered letter with acknowledgment of receipt.
- Termination of the contract for price increase
Some contracts may offer you the option of canceling your insurance when it becomes more expensive. Find out more from your insurer.
What to do in the event of a dispute with insurance?
Here are all the steps to follow in the event of a dispute with your insurer!
- Settle the dispute amicably
Before using legal action, there are several steps to take. As a first step, we advise you to contact – by telephone or e-mail – the customer service or the complaints department of the company in question.
Three methods of amicable settlement can be offered to you: mediation, conciliation and participatory procedure.
In case of refusal or absence of response from the insurer, send a registered letter, with acknowledgment of receipt. In your letter, clearly explain the purpose of your request and provide your contact details and customer number. However, be sure to keep the duplicate of your mail, which can be useful for pursuing your legal action if you do not obtain satisfaction.
- Use a mediator
You can contact a mediator to facilitate, outside of any legal proceedings, the amicable settlement of disputes. In the case of mediation, a statement of agreement signed by the consumer, the insurance and the conciliator can be drawn up. An essential document in case of judgment or reimbursement proceedings.
- Check with a consumer association
The 15 approved national consumer associations do offer to inform you of your rights, but also to represent and defend you in the event of disputes. The association may also propose to initiate a class action if several policyholders complain of misleading commercial practices.
Did you know ? Groups on social networks and on forums frequently form to take collective action. Do not hesitate to search on the Internet if other people have already been in this same situation and see if an action is taken.
To find out about your rights and the steps to follow in the event of a dispute, do not hesitate to consult the website of the DGCCRF, the Directorate General for Competition, Consumer Affairs and Fraud Prevention. You can also contact the agents of the DGCCRF, who will answer all your questions and guide you more precisely according to your situation.
- Report the insurance in question
Available free of charge on your smartphone and on your computer, SignalConso is a DGCCRF platform allowing consumers to report misleading commercial practices or scams.
Did you know ? Since 2020, SignalConso has received 500,000 reports.
If the solutions proposed above do not suit you, you can refer to the court on which your domicile depends. Go to the justice points which ensure access to the law for all or to the police station closest to your home.
LR