Home insurance termination is essential when the policy no longer suits its policyholder. There is a whole series of procedures for this that must be followed carefully to cancel your home insurance contract. Cancellation of your insurance can be done when your contract expires. However, there are several conditions that you should be aware of in order for everything to run smoothly.
Home insurance cancellation on the due date
The first step in terminating your insurance contract is to send a registered letter of termination (at least 60 days before the expiry date) to your insurer. At the same time, you should know that your insurance company is obliged to remind you of the expiry date of your contract, at least 15 days before the expiration. Upon receipt of this notification, you have 20 days to send it your decision, always by registered letter.
If no reminder is made by your insurer, the termination of your insurance contract can be carried out at any time. You will not pay any penalties and you are not required to file a notice. Thanks to the Hamon law, you are also allowed to request home insurance termination with lesfurets.com. It is sufficient that your contract is dated at least 12 months. On the other hand, you must submit a notice the duration of which is established in the contract.
Note that you can request a refund in proportion to the remaining duration. If ever your insurance contract is subject to a new rate, your insurer must inform you. If this new rate does not suit you, you have 30 days to submit a home insurance cancellation request.
Termination due to changes in circumstances
A home insurance cancellation can be requested during the first year, in the event of a change of situation. The reason must be mentioned in the insurance contract. Are generally considered in the contract the change of domicile, and the patrimonial and professional situation. For each of these reasons, you must send a notice of at least 3 months to your insurer. Your letter must be accompanied by documents justifying the change in situation.
It should be noted that home insurance cancellation will only be effective 30 days following receipt of your request. On the other hand, if your cancellation request is due to an increase in the risk covered, you must inform your insurance company within 15 days of the change in situation. By law, your insurer will have to present you with a new insurance contract (which you do not have to accept) with a revised rate.
Home insurance termination for special cases
Among the legislative provisions that govern home insurance termination, special circumstances should be noted.
Increase in policy amount
Every year, your insurer must send you a notice of expiry and its new rates. This obligation is defined by the Chatel law. In the event that you notice an unjustified increase in prices, you may request a termination of the contract. In your request, you must state the real reasons for your decision. The request is considered to lapse if your contract provides for a minimum increase and the increase is due to a general increase in taxes.
Sale of housing
In the event of a move, you also have the right to request a home insurance termination. In this kind of situation, your request must be sent to your insurer and accompanied by the supporting documents.
In the event of termination by the insurer
It’s not just policyholders who can cancel a home insurance contract. Indeed, insurance companies can also use this approach in the event of an accumulation of unpaid debts or a false declaration on the part of their client. In this type of case, the subscriber is informed of the decision of his insurer by a letter with acknowledgment of receipt. Cancellation of the contract takes effect within 30 days of sending the letter.
Taking out home insurance is strongly recommended, although it is mandatory for tenants of a condominium property. For any home insurance termination request, it is essential to refer to the legislation in force.