October 1, 2024
A new law introduces changes to the rules for terminating insurance contracts, particularly for home, auto, and family insurance (excluding health insurance, which follows its own rules).
From now on, if you want to cancel your insurance contract before it is automatically renewed, you must do so two months before the renewal date, instead of the previous three months. This applies to the first year of your contract. From the second year onwards, you can terminate your contract at any time, provided you give two months’ notice.
Additionally, the law now allows insurance contracts to be canceled using an electronic signature. Starting October 1st, you can also ask your new insurer or an intermediary to handle all the necessary steps to cancel your previous insurance contract.
For insurers, the rules remain unchanged: they must still give three months’ notice before the renewal date of a contract. An insurer and a policyholder can also cancel a contract after handling a claim.
Harmonization of Insurance Benefit Payment Deadlines
Starting October 1, 2024, a new law will enforce stricter deadlines for insurance benefit payments, targeting several types of insurance that were previously unregulated. This includes liability insurance (excluding motor liability insurance), property insurance (excluding fire insurance), fire insurance (excluding simple risks), as well as health and accident insurance (excluding workplace accidents).
Insurers will now have three months to respond to a claim for compensation. If they dispute the claim, they must provide a detailed explanation within this period. If the deadline is not met, a fixed fine of 300 euros will be imposed. If the insurer still does not respond after a reminder, the fine will increase by 300 euros for each day of delay.
Finally, insurers must pay the compensation within 30 days after the amount is determined, or late interest penalties will apply. These new rules will apply to all claims made after October 1, 2024.