Insurance contracts: top start for termination in three clicks

2023-05-30 13:42:26

It’s a move that, on paper, should be good for your wallet. In any case, it was voted on within the framework of the law of August 16, 2022 on emergency measures to protect the purchasing power of the French. From this Thursday, June 1, it will be mandatory to be able to terminate an insurance contract online, in three clicks, as soon as it can be concluded at that time electronically on the company’s website.

A provision that applies to future contracts but also to those in progress for car insurance, home insurance or even complementary health. But also to affinity insurance, those that we subscribe in addition to the purchase of a good or a service, sometimes even without really realizing it. Companies that do not comply with this obligation may be fined up to 75,000 euros.

So no more unanswered emails, deaf dialogues on the phone or expensive registered letters when you have tried everything: the obstacle course that the termination of this type of contract sometimes represents for the French will in theory come to an end.

And by offering consumers the possibility of changing insurers more easily, the public authorities are giving them the possibility of comparing rates, of playing on the competition and of realizing significant savings.

Energy and telecom contracts will have to follow

In concrete terms, insurance companies, provident institutes and mutual insurance companies must provide consumers with a free, permanent, direct and easy-to-access feature called “cancel your contract”. A similar formula can be used but it must be “unambiguous” so as not to mislead the consumer.

Once the procedure has been initiated, the insured must provide his first and last name, a means of contact, the reference of the contract, the reason for termination and the date. A general summary of the conditions and consequences of this operation is then presented to the contract holder. After reading it, the insured will only have to click on “confirm my cancellation request”.

This functionality, for the moment only imposed on the field of insurance, should be extended by decree to new services in the coming months. Energy (electricity, gas, etc.) and telecom (telephony, box, etc.) contracts would be affected.