Changing car insurers, you rights

[woolybanana]

http://www.lepoint.fr/actualites-societe/automobile-changer-d-assureur/1597/0/285655

In black and white.

[Clair]

In Google English HERE.

[woolybanana]

Thank you, I knew you were waiting up for me my darling!!!!!!!! To give me assurance in the wee small hours.

[Mr Coeur de Lion]

It's amazing what deal you can get from your existing insurer by showing them competitors quotes as well. I saved over €200 this year by doing that.

[Mutiara]

I don't understand - could someone explain in plain English please as the translation is not quite understandable ? Below are my queries;

1. Am I right inthinking that the notice required is generally 2 months ? If so what is the standard proceedure to cancel  and when should I send a cancellation letter ?

2. If the above is correct and my insurer sends me a renewal notice one month before renewal - can I cancel the insurance ? If my insurer sends me a renewal notice one or two weeks before renewal - can I cancel the insurance ?

This question crops up a lot so I would be very pleased to hear just clear plain facts or even a sticky on this subject would benefit a lot of people.

Thanks !

[Clair]

The gist:

You are free to cancel your contract any time, as long as you do so within the notice mentioned in your contract, usually (but not always) 2 months (remember you will have to pay for the length of the contract, usually 12 months, unless there is a change of circumstances like divorce, sale of vehicle, change of job... ).

The notice required should be indicated in your contract, usually under the heading "Résiliation".

Standard cancellation procedure is by letter (recommandé + accusé de réception).

If you have not cancelled your contract:

• At least one month before the end of the contract, the insurer must advise you of its automatic renewal. You are free to cancel the automatic renewal, but you must let them know.
• If the insurer's letter is received within 2 weeks of the renewal date or after the renewal date, you have 20 days from the date of posting (keep the envelope) to indicate if you want to cancel the automatic renewal.
• If the insurer does not send the letter at all and the contract is automatically renewed, you can cancel the contract at any time without financial penalty. Sums paid after the cancellation must be reimbursed.
• Unlike in the UK where you must opt in every year, in France, you must opt out of the contract.

• If the insurer does not receive your letter (recommandé + accusé de réception) saying you do not wish to renew the contract, the contract is automatically renewed and you are liable to pay for the length of the contract.

[Clair]

A forum search for Loi Chatel brings up a few previous threads.

I posted this way back when the law changed: http://www.completefrance.com/cs/forums/561290/ShowPost.aspx

[Mutiara]

Thank you Clair for the explanation

I have just one further clarification please if you wouldn't mind ?

You said

At least one month before the end of the contract, the insurer must advise you of its automatic renewal. You are free to cancel the automatic renewal, but you must let them know."

My cancellation policy is indeed 2 months notice normally, so I understand how to cancel in normal circumstances.

But ... If I receive the renewal notice 1 month before the renewal date, surely that does not give me 2 months to cancel ?? Or are you saying that I can give notice one month before renewal date, in all cases?? And after I have received the renewal notice one month before the contract expires, how soon must after this must I send in a resiliation letter by recommandé avec AR ??

Basically it seems to me that in most cases you can cancel a motoring policy one month before it expires- Am I correct ?

 

 

[Clair]

I think there might be some confusion...

Let's imagine that you have decided to change your insurer for whatever reason.

You can either

• write to them in according to the notice (préavis de résiliation) required by the contract. The letter will effectively signify that they do not need to send you a renewal notice.

or

• you can wait for the renewal notice, which they should send you according to my previous post.

[Clair]

Further clarification:

my renewal notice letter specifically says that "unless they hear from me to the contrary by this date, my account will be debited  on that date."

That tends to concentrate the mind, as the renewal is for the car, the bike, the house and the gite together... We're not talking peanuts![:)]