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To understand withdrawal from distance-sold car and home insurance, you need to distinguish between the contracts. Unlike other contracts concluded at a distance, car insurance does not benefit from the 14-day right of withdrawal. For home insurance, a 14-day period may apply depending on how the policy was taken out. Before asking to cancel a contract, therefore, identify both the contract concerned and the circumstances in which you concluded it.
At a distance: two different answers
For car insurance concluded online, by telephone or through an online comparison site, Service Public states that the contract is firm and final as soon as it is taken out. The right of withdrawal is the ability to withdraw from a contract after signing it. For car insurance, concluding a contract at a distance is therefore not enough to give you the 14-day right of withdrawal.
For home insurance, Service Public states that a withdrawal period exists if the contract was concluded at a distance in one of the following situations: solicitation by telephone or at home, a response to a postal or electronic mailshot, or a contract concluded online. Depending on how the policy was taken out, this period is 14 days. An important restriction applies: you can no longer withdraw if a loss occurred during the withdrawal period and you asked the insurer for compensation.
The comparison therefore concerns the type of contract as much as the way it is concluded. If you took out both policies through the same contact, examine each contract separately before considering a request: the rules presented for distance-sold home insurance differ from those for distance-sold car insurance.
Car insurance: distinguishing distance sales, branches and solicitation
There is no right of withdrawal for a car insurance contract taken out in person at the insurer's premises or with its representative (general agent, broker). The situation for distance sales is also different from that of a contract signed following solicitation at home or at the workplace.
In the latter case, the 14-day right of withdrawal provided for contracts concluded off-premises may apply. The right of withdrawal applies only if you have not made use of any of the cover provided by the contract. In this case, the cancellation request must be sent by registered letter or registered electronic delivery with acknowledgement of receipt, within 14 calendar days.
To prepare for your discussion, note where the signing took place and whether it followed solicitation by the insurer. Also specify whether you have made use of any cover. These details will help your contact examine your situation, distinguishing a distance contract from one signed off-premises following solicitation.
Home insurance: preparing the withdrawal request
If your situation falls within the distance-selling cases presented above, Service Public advises sending the insurer a registered letter with acknowledgement of receipt to inform it of your intention to cancel the contract. You do not have to justify your decision. Keep the contract details at hand and clearly identify the contract concerned in your letter.
The cost of the period already covered must still be considered: you will have to pay the portion of the premium corresponding to the number of days already covered by the contract. The insurer must refund the amounts already paid within 30 calendar days following cancellation. After this period, statutory interest is added to the amounts due.
Before sending your request, also check what events have occurred since the contract was concluded. In particular, the restriction cited above concerns a loss that occurred during the withdrawal period for which you asked the insurer for compensation. Describe the situation precisely to your contact if you are unsure whether it applies.
For a home insurance contract signed at a branch or in a shop, once the contract has been signed and handed to the insurer, you can no longer change your decision. It is therefore useful to distinguish a discussion before signing from a request made after the contract has been handed over. If the proposal does not fully suit you, you can discuss the terms and clauses with the insurer, including the price.
Before signing: compare and reread the documents
For both car and home insurance, you can approach several professionals to compare their proposals. Before car insurance is taken out, the insurer must provide a proposal including, among other things, an information sheet on prices and cover and a draft contract. For home insurance, the proposal includes an information sheet on prices and cover and a draft contract or a detailed information notice.
Take time to read about the cover requested and its limits, including the list of risks not covered. Also check the applicable law and the bodies with jurisdiction in the event of a dispute, as well as the conditions for triggering liability cover. If anything seems unclear, ask for clarification before signing and check the withdrawal rule applicable to your situation.
The information provided to the insurer must be accurate. For home insurance, prepare details about your situation and the property in particular. For car insurance, specify the cover you want and the requested information about your vehicle and its drivers. Reread your file before sending it, then keep the contractual documents for future discussions.
Keep the need for cover in mind
The decision to withdraw from a contract must also be considered in light of your insurance situation. If you own or drive a motor vehicle travelling in France, you must have at least third-party liability insurance. For housing, a tenant of a property rented under a residential lease must take out a home insurance contract with the minimum cover.
Before taking any steps, ask the insurer to clarify your coverage situation and the consequences of your request. This article provides general guidance; when making your decision, examine your contract and personal circumstances with your contact.